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Archive for the ‘Management’ Category

Scouting Emerging Business Trends

Posted by iBlog on May 13, 2008

There are few people as well placed and well qualified to see emerging business trends unfold as the world’s most influential executive recruiters.

Just consider the experience and perspective they gain from working with a variety of corporate clients to scope the competitive landscape, court exceptional management leaders, and shape succession plans that are both solid enough to ensure continuity but adaptable enough to compensate for challenges looming just over the horizon.

In the course of conducting research for my just-published book, Deciding Who Leads, I was reminded by a number of executive recruiters and corporate leaders that perceptions about the quality of management, future financial opportunity, and recent market momentum move the best management candidates to gravitate to the most compelling job opportunities.

Ready to Jump

Likewise, whenever a company begins to falter, the sharpest executives can read the tea leaves and usually begin to leverage their network to make their next career move before things start to get ugly. That often leads them to the executive recruiters and almost immediately to some pretty serious discussions about why they want to leave their current employer.

The cumulative effect of that one-on-one intelligence gathering about executive attitudes—either perceptions of a bright future or a looming organizational meltdown—gives executive recruiters unparalleled vision into emerging business trends and the best executive career opportunities.

Take that kind of information, multiply it by several hundred interviews with executive interviews in the course of a year, and you begin to realize that executive recruiters’ attitudes are actually a leading indicator about the health of organizations, and, for that matter, the broader economy.

The caliber and performance of senior corporate management is almost always suggestive of an organization’s current and future financial performance. So who better to judge the trajectory of an organization than these external leadership scouts? And who better to provide us with compelling statements about future business trends than those recruiters who help move top executives to where the best action is?

Sniffing the Breeze

The world’s most influential headhunters have a particularly acute sense for the business trends that may already be shifting the strategy and management demands for their myriad corporate clients. What follows are just some of the perspectives they’ve shared about the single global business trend that will most influence corporate performance in the future.

Tierney Remick, global managing director of the consumer/retail market for Korn/Ferry International (KFY), says she has already witnessing a global shift in consumer influence that will reshape the economic landscape. She points to “the globalization of consumerism, specifically the growing impact of consumer and economic independence in larger developing countries that have historically followed trends as opposed to setting them. They will create new centers of influence that will need to be understood by business leaders to compete effectively on a global scale.”

Marylin L. Prince, co-founder of New York asset-management specialist search firm PrinceGoldsmith, says sustainable business practices will have a tremendous impact on future corporate earnings and on the search for leadership talent for some time to come. “Industry leaders will need to embrace the moral and economic principles of sustainable business to remain competitive and build successful companies,” Prince contends.

The free flow of human and intellectual capital made possible by Internet technology is the moving force that will alter the course of many businesses, says Anne Lim O’Brien, a managing director at Russell Reynolds Associates. The fluidity of those forces, she offers, “provides speed and access to talent where you want it, when you want it. New media/social networking trends feed this flow.”

A Share of the Blame

Recognizing how lackluster or incompetent corporate management has hurt shareholders and led to scandal in recent years, Robert J. Brudno, managing director of Savoy Partners in Washington, offers his view of something that should influence future organizational performance.

That, he offers, is “greater professional and moral accountability from those who recruit, install, and maintain weak corporate leaders. In the case of most well-publicized meltdowns of companies, it is rare that insiders did not know that bad things were likely to occur.” Certainly he’s counting some misguided executive recruiters among them.

Furthermore, Brudno opines, “too many people pay no price for the damage they cause, and their enablers are rarely held to account. Fix that and watch performance soar.”

One consensus view offered by many of the most influential executive recruiters revolves around the growing influence of China and India. “The ability to expand in new markets and the capacity to reposition your business in new lines of activity while your core business or expertise is either disappearing or becoming a commodity,” says Marc Lamy, a Paris-based partner and managing director with Boyden, is going to shape future business performance in ways that are just beginning to be revealed.

That suggests that more business leaders, and, for that matter, more of the world’s executive recruiters, are going to have to balance intense focus on the challenges directly in front of them with a broader, global view of business trends before their full impact is widely felt.

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Posted in Creativity & Culture, Current News, Entrepreneurship, Going Global, Management | Leave a Comment »

Business Organization In Thailand

Posted by iBlog on August 21, 2007

Basic Business Organization

By Ekkapon Yuangnark

There are many kinds of business organization for person who would like to do business in Thailand. However, the basic and most favorable are as followings:

1. Sole Proprietorship :

The Sole Proprietorship is an unincorporated business owned by one person. All the proprietor’s assets, both business and personal, are subject to attachment or other legal action which may be brought with respect to the business.

2. Partnership :

According to Thai law, there are three different types of partnership. They are (1) unregistered ordinary partnership, (2) registered ordinary partnership, and (3) limited partnership. A joint venture or consortium is deemed as kind of unregistered ordinary partnership but may be treated differently under the Revenue Code.

(A) Unregistered Ordinary Partnership

An unregistered ordinary partnership is one in which all partners are, without limit, jointly liable for all the obligations and debts of the partnership. The partnership cannot be regarded as a juristic entity separate from each partner, who must make a contribution in the form of money, properties or services.

(B) Registered Ordinary Partnership

If an ordinary partnership is registered, it becomes a separate juristic entity from each partner, who thereby gains the following advantages:

(1) The assets of the partnership have to be examined before creditors can claim debt payment from the partners. This is unlike an unregistered ordinary partnership, in which each partner is directly liable for debts incurred by the partnership.
(2) The liability of a partner for debts incurred is limited to two years from the date he ceased to be a member.

(A) Limited Partnership

(1) A limited partnership consists of two types of partner:
(a) one whose liability is limited to the specific amount which he has contributed to the partnership, and
(b) one whose has unlimited liability for all debts incurred by the partnership.
(2) A limited partnership must be registered and is regarded as a separate entity.
(3) It should only be managed by a partner who has unlimited liability.
(4) If the business of the partnership is managed by a partner whose liability is limited, that partner will become unlimitedly liable for all debts incurred by the partnership.
(5) Partners with limited liability are entitled to carry on business of the same nature as that of the partnership and are free to transfer their shares without prior consent of the other partners.
(6) Creditors of the partnership are not entitled to sue partners with limited liability unless the partnership is dissolved. Even then, creditor can claim only the following amounts:
(i) part of the undelivered contribution,
(ii) part of the contribution which has been withdrawn,
(iii) divined or interest received in bad faith or contrary to the law.
(7) New partners cannot be introduced into the partnership without the consent of all other partners. A new partner is liable for any of the partnership’s debts from time of his becoming a partner. Similarly, an ex-partner is liable for debts incurred by the partnership up to the termination of his right as a partner.

An ordinary partnership is dissolved if :

(i) Terms of contract of partnership provide for it.
(ii) A definite period of time descried in the terms of partnership has expired.
(iii) The partnership was formed for a single undertaking, which has been completed.
(iv) Any of the partners gives due notice to the others
(v) Upon death, bankruptcy or incapacity of a partner.
In (iv) and (v) above, the partnership can continue to exist if the remaining partners buy the shares of the withdrawing partner.

An agreement on how the profits and losses of the partnership are to be divided should be made between the partners of the partnership. In the event that no such agreement has been made, each partner’s share in the profits and losses will be calculated in accordance with the proportion of his contribution.

The partner should also make an agreement concerning the manner in which the business of the partnership should be managed. In the absence of such an agreement, the business of the partnership may be managed by each of the partners, who are jointly responsible for the acts of any other partner in the ordinary course of business. Relations between the managing partners and the other partners are governed by the laws of agency.

Unless consent is given by other partners, each partner is prohibited from carrying on any competitive business of the same nature as that of the partnership. If this does occur, the other partners are entitled to claim back any profits made, and/or compensation for any injury suffered by the partnership in consequence.

If the partnership is dissolved, liquidation shall take place unless ;

(a) some other method of property adjustment has been agreed upon by the partners,
(b) The partnership is adjudicated bankrupt.

Liquidation of a partnership must be done in accordance with the following procedure:

(i) Repayment of debts to third party.
(ii) Reimbursement of advances made and expenses incurred to the partners in managing the business of the partnership.
(iii) Return of each partner contribution.
(iv) Division of any remaining balance between the partners, as profit.

3. Limited Company :

Under Thai law, there are two types of limited companies, private company and public company. In this brief shall mention to private company only.

Limited company is a company which is formed with a capital divided into equal shares. The advantage of conducting business in the form of a limited company is that people can participate in large-scale business activities with their liability being limited to the amount unpaid on the shares held by them.

The procedure for forming a limited private company is as follows:

(1) The promoters of the company must file a memorandum of association. The memorandum of association shall contain the following information:
– the full name and intended location of the company,
– the objectives of the company,
– the intended location of the head office of the company,
– a declaration of the shareholder’s limited liability,
– the amount of share capital, and the value of each share,
– the name, address, occupation, and signature of each of the promoters together with the number of shares subscribed to by each.
(2) The official in charge of company registration will review the memorandum of association, especially the company objectives, to determine whether it is (a) against the law, or (b) detrimental to public morals. Once satisfied, registration will be granted.
(3) After registration, the company promoters will try to have all shares subscribed to. A private company is not permit to invite the public to subscribe to the shares.
(4) After all shares have been subscribed to, the promoters of the company must immediately call a general meeting of subscribers. This meeting is the statutory meeting, which should call :
(a) adoption of the company regulations,
(b) rectification of any transactions or expenses made by the company promoters during the formation of the company,
(c) determining and fixing the amount to be paid to promoters,
(d) fixing the number of preference shares, if any,
(e) fixing the number of ordinary and preference shares to be allocated as fully or partly paid up in place of money, and determining the amount at which they shall be considered as paid up, and
(f) appointment of directors and auditors and establishment of their respective power.
(5) After the statutory meeting, the promoters shall hand the business over to the directors.
(6) The directors shall cause the promoters and subscribers to pay up each share in money at an amount of not less than twenty-five prevent of the par value.
(7) When the above mentioned amount has been paid, and within three months of the statutory meeting, the directors must apply for registration of the company.

Regulation of the Company :
Shareholders will normally adopt company registrations. These regulations will be registered. They are deemed as the law governing the company’s business and binding the director, shareholders and outsiders in accordance with the company’s resolutions which require approval of the shareholders.

Management of the Company’s Business :
The company’s business is to be managed by the directors of the company as appointed at the meeting of the shareholders. The first group of directors are appointed at the statutory meeting and thereafter at the ordinary meetings. The directors have to manage the company’s business in accordance with the regulations passed at the first general meeting of shareholders. The regulations will usually specify which director(s) are to conduct transactions with outsiders. However, if other directors have an agency relationship with the company, they may conduct transactions which bind the company to outsiders. In this case, these directors will also be responsible to the company and the shareholders.

Although the directors have the authority to conduct all types of legitimate business on behalf of the company, there are some things for which they must obtain the approval of the shareholders at the shareholder’s meeting. These are :
(1) appointment and removal of directors(s),
(2) appointment of auditor(s),
(3) declaration regarding distribution of dividends,
(4) conducting business involving capital, fully or partly paid up in any form other than money,
(5) dissolution of the company,
(6) amalgamation with other company(ies),
(7) other matters recorded in the regulations of the Company.

4. Joint Venture :

A contractual unincorporated joint venture or consortium is not recognized as a unique legal entity under the Civil and Commercial Code, except, perhaps as a form of partnership, but these forms of organization are recognized under the Revenue Code.

5. Branches of Foreign Company :

There is no special requirement for foreign company to register its branch in order to do business in Thailand. However, most businesses fall within the scope of one or more laws or regulations which require a registration, either before or after commencement of activities and foreign business must follow the generally applicable procedures.

6. Representative Office :

By a regulation of the Prime Minister’s Office, special procedures were establishes for those companies that wish to establish branches in Thailand to engage in limited “non-trading” activities. These procedures are optional but may be beneficial in certain circumstances. If the business activities of a foreign company are limited to the search for Thai products to be exported to other organs of the company or to do quality control work associated with such purchase or to engage in market survey activities, it is recommended to register as representative office. If a company is accepted for this representative office, expedited visas and wok permits for up to two foreigners to work in the branch are available.

Posted in Articles By Author, Asia Business, Business Tactics, China Global, Consulting, Corporate Strategy, Entrepreneurship, Going Global, Hiring & Training, Innovation, International Business, Management, Researching, Small Business | Leave a Comment »

Strategy as Simple Rules

Posted by iBlog on August 9, 2007

When the business landscape was simple, companies could afford to have complex strategies. But now that business is so complex, they need to simplify. Smart companies have done just that with a new approach: a few straightforward, hard-and-fast rules that define direction without confining it.

Read the full article in Harvard Business Online

Posted in Corporate Strategy, Management | 1 Comment »

When To Trust Your Gut

Posted by iBlog on August 9, 2007

The intuitive insight that would save Chrysler in the 1990s came to Bob Lutz, then the company’s president, during a weekend drive. On a warm day in 1988, Lutz took his Cobra roadster for a spin. As he raced along the roads in southeastern Michigan, he tried to relax, pushing aside what critics had been saying about Chrysler—that the company was brain-dead, technologically dated, and uninspired and that it lagged dangerously behind not only the Japanese auto-makers but also General Motors and Ford.

Read the full article in Harvard Business Online

Posted in Business Psychology, Management | Leave a Comment »

Strategies For Growth

Posted by iBlog on August 9, 2007

A company can’t outperform its rivals if it competes the same way they do. Reconceive your business’s profit drivers, and you can change from copycat to king of the jungle.

Read the full article in Harvard Business Online

Posted in Business Psychology, Competition, Corporate Strategy, Management | Leave a Comment »

How To Play To Your Strengths

Posted by iBlog on August 9, 2007

Most feedback accentuates the negative. During formal employee evaluations, discussions invariably focus on “opportunities for improvement,” even if the overall evaluation is laudatory. Informally, the sting of criticism lasts longer than the balm of praise. Multiple studies have shown that people pay keen attention to negative information. For example, when asked to recall important emotional events, people remember four negative memories for every positive one. No wonder most executives give and receive performance reviews with all the enthusiasm of a child on the way to the dentist.

Read the full article in Harvard Business Online

Posted in Business Psychology, Business Tactics, Entrepreneurship, Leadership, Management, Small Business, Talent Development | Leave a Comment »

Stop Making Plans Start Making Decisions

Posted by iBlog on August 9, 2007

In most companies, strategic planning isn’t about making decisions. It’s about documenting choices that have already been made, often haphazardly. Leading firms are rethinking their approach to strategy development so they can make more, better, and faster decisions.

Read the full article in Harvard Business Online

Posted in Business Psychology, Business Tactics, Management | Leave a Comment »

Managing Change The Art Of Balance

Posted by iBlog on August 9, 2007

Change is intensely personal. For change to occur in any organization, each individual must think, feel, or do something different. Even in large organizations, which depend on thousands of employees understanding company strategies well enough to translate them into appropriate actions, leaders must win their followers one by one. Think of this as 25,000 people having conversion experiences and ending up at a predetermined place at approximately the same time. Small wonder that corporate change is such a difficult and frustrating item on virtually every company’s agenda.

The problem for most executives is that managing change is unlike any other managerial task they have ever confronted. One COO at a large corporation told me that when it comes to handling even the most complex operational problem, he has all the skills he needs. But when it comes to managing change, the model he uses for operational issues doesn’t work.

Read the full article in Harvard Business Online

Posted in Change Management, Management | Leave a Comment »

Why Employees Are Afraid To Speak

Posted by iBlog on August 9, 2007

What would you think if you overheard an employee confiding in another, “If I tell the director…what customers are saying, my career will be shot”? We actually heard this, verbatim, in the course of our research on communication in a leading high-technology corporation. Our study suggests that this type of self-censorship is common, from the rank and file right up through senior management.

We set out to systematically identify the factors that cause employees to bring ideas to their bosses—or withhold them—by interviewing nearly 200 individuals from all levels and functions of the company. The firm had many formal mechanisms, such as an ombudsperson and grievance procedures, for encouraging people to speak up about serious problems, yet half the employee respondents in a recent culture survey had revealed that they felt it was not “safe to speak up” or challenge traditional ways of doing things. What they were most reticent to talk about were not problems but rather creative ideas for improving products, processes, or performance.

Read the full article in Harvard Business Online

Posted in Management | Leave a Comment »

Bury Your Opinion, Short Change Your Team

Posted by iBlog on August 9, 2007

Last year, David MacNair, a senior vice president for Campbell Soup, detected a problem in his Camden, N.J.-based unit’s leadership team. “The team had developed an acute case of silo behavior. People didn’t seem to feel the need to interact,” he says. “We were functioning adequately as a group of individuals with busy jobs. But we weren’t really functioning as a team.”

Read the full article in Harvard Business Online

Posted in Management | Leave a Comment »

Openess, Candor and Respect

Posted by iBlog on August 7, 2007

The environment people work in can make a huge difference to their productivity. Employ a three-pronged approach of openness, candor and respect to get the best out of your employees.

Read the full article on Fastcompany.com

http://www.fastcompany.com/resources/leadership

Posted in Business Tactics, Consulting, Leadership, Management, Motivation & Inspiration | Leave a Comment »

Learning For A Change

Posted by iBlog on August 7, 2007

Ten years ago, Peter Senge introduced the idea of the “learning organization.” Now he says that for big companies to change, we need to stop thinking like mechanics and to start acting like gardeners.

Click on the link below to read the full article from Fastcompany.com

http://www.fastcompany.com/magazine/24/senge.html

Posted in Change Management, Management | Leave a Comment »