II.

Fill in the blanks

Executive Directors

A modern business enterprise is often a COMPLEX system requiring a lot of CAPITAL

which is provided by the public when they BUY shares in the company. Since they have
PROVIDED the capital, it is appropriate that they choose the people who are to RUN the
company for them, namely the board of directors. Many of the DIRECTORS also have
executive responsibilities. Thus, a marketing director might be a full director of the board
APPOINTED by the shareholders at the annual GENERAL meeting like the other directors.
Yet he might also be responsible for the day-to day MANAGEMENT of the marketing
department. Most of his time will be BRAND administrative matters, organizing market
research, dealing with ADVERTISING and generally ensuing that the COMPANY'S sales
are maximized. But he will function as a director when the board of directors meets. The
POST of managing director also COMBINES the roles of chief executive with membership
of the board and this allows him to act as a vital LINK between the board of directors and
their COMPANY'S management team. The managing director is often also a chairman of the
board of directors. APPOINTED directors have the advantage that they are ACTIVELY
involved with the affairs. If the board of directors wish to move in a CERTAIN direction, the
executive directors will know whether such a COURSE of action is practicable. For example,
the board might wish to SELL their products in a particular OVERSEAS market. The market
would be profitable for the company, but the MARKETING director knows that his team of
salespeople lack the experience to take advantage of the Situation. Or perhaps the board
would like to INCREASE the advertising expenditure during the FINANCIAL year but the
FINANCIAL director knows that the company will have to meet some heavy commitments
during the COMING months and it would be better to DELAY the campaign. Perhaps the
best board is one which contains a MIXTURE of executive and non- executive directors. In
this way the board has the MIXTUREof some directors who know the practical problems
FACED by the business, while others bring their own BENEFIT of expertise to the
boardroom discussions.

III. Nouns and verbs

a) The DIRECTOR of a company have the responsibility to ENSURE that the

legal requirements are complied with.

b) The directors of a company must SEND a copy of the company's annual

ACCOUNTS to the Registrar of Companies.

c) The directors will MAKE decisions by passing resolutions at the

BORAD meeting.

f) Executive directors are those who PROPOSE departmental RESOLUTION.

g) The directors are ELECTED by SHAREHOLDERS the at the annual general

meeting.
h) The managing director ANSWEARS to the board for the performance of his
management TEAM.

IV. Multiple choice

Choose the phrase, A, B, or C, which best completes each sentence, and tick the
appropriate box.

1. When the directors are discussing the problems facing the company they
primarily have to consider

C. the interests of the shareholders.

2. When a proposal is made and a vote taken the usual arrangement is that

C. the directors with most shares have the most votes.

3. Key members of staff will be chosen by the managing director because

A he is more knowledgeable than the other directors.

4. Non-executive directors will often be appointed because

C. no-one else is available.

5. Directors are usually required to have shares in the company so they can

A be seen to have a personal stake in the business and thus be affected by their
decisions.

6. Strategic decisions are concerned with

A the details of day-to-day administration.

7. While decision-making powers are commonly delegated to senior executives

C. the directors remain responsible to the shareholders for any mistakes which
might be made.

8. The further ahead one plans

B. the more one can anticipate problems and thus avoid them.

9. Tactical decisions are those by means of which the senior executives

C. cary out the plans prescribed by the board of directors.

10. The directors have to initiate long range plans with a view to ensuring

A the achievement of the company's objectives.

VI. Complete the sentences

Complete the following sentences using your own words.

1. A non-executive director may contribute to the development strategy.

2. Although the directors only meet once a year.

3. The directors are primarily responsible for determining the company's strategic
objectives and policies.

4. Long-term plans are necessary because it helps business leaders to think

differently about the company's direction.

5. A personnel director a person who is in charge of the department that deals with
the employment, training, support.

6. Financial director is a member of a senior executive team with responsibility for

their company's financial health.

7. The managing director in a manufacturing companys business strategies.

8. The lines of communication in a large company can include a chain-of-

command that requires employees to communicate only with their direct superior

9. The shareholders will expect the directors to protect and manage shareholders'
interests in the company.

10. The directors are elected by shareholders.

11. When the directors choose their senior executives they making an interview or
test.

12. When the directors vote in the boardroom Directors don't need to be physically
present at meetings.

Match the words listed above with the dictionary definitions which follow.
1. To avoid the situation where all the eggs are in one basket. arbitrary
2. Someone in a position of authority. delegation

3. An undertaking with a view to profit.Enterpriese

4. The quality of being reliable and straightforward.INTEGRITY

5. Brevity to the point of rudeness. curtness

6. Payments made to those who own the equity of a company.DIVIDENDS

7. To bring together effectively. objective

8. The decision which chooses the direction in which a company is going.

STRATEGY

9. The part of a business concerned with day-to-day problems. take-over

10. Opposing or warring.CONFLICTING

11. Meeting with the set requirements. actical

12. Someone who is able to contribute to a business in a variety of its departments.

diversify

13. Having a reputation in a particular branch of business, such as law.EMINENT

14. The sort of decision which is not based on facts.GENERALIST

15. The opposite of rights.COMPLIANCE

16. Targets or goals.OBJECTIVE

17. To commence or start.INITIATE

18. More than half, for example, of votes cast.MAJORITY

19. Part proprietors of a company. Those who collectively own the
equity.ADMINISTRATION

20. Specialised skill or knowledge. expertise

21. A description for salary, usually reserved for more senior

officers.REMUNERATION

22. The act of giving authority to one's subordinates, while retaining the
responsibility ; for the outcome.CO-ORDINATE

23. The situation when a majority of a company's voting shares are acquired by out
siders enterprise

24. Occurring often.FREQUENTLY

25. The decision which concerns using the resources which have been allocated to
the best possible effect.ARBITRARY

VIII. Insert may or might in the following sentences:

1. MAY I borrow your car?

2. I .MIGHT never see you again.

3. It MIGHT rain, you’d better take a coat.

4. He said that it MAY rain.

5. We MAY as well stay here till the rain stops.

6. If we wave to him he .MIGHT give us a lift.

7. “.MAY I come in?” “Please do.”

8. MAY all your wishes come true.

9. He MAYbe on the next train. We MIGHT as well wait.

10. MAY I give you some advice?” “If you must.”

11. If you said that, he .MIGHTbe very offended.

12. You MIGHT be right, but I don’t think you are.

13. We’d better be early; there .MAY be a crowd.

14. “I can’t think what to do.” “MAY I make a suggestion?”

15. I don’t think I’ll succeed but I .MIGHT as well try.

V. Summarising

Give the following passage an appropriate title and summarise it in about 100
words.

TITLE: The most important executives in an organization.

SUMMARY:

The Planning Department plays an administrative role. The department staffs the
project teams that develop the master plans, sector plans, and other planning efforts
that ultimately become the basis and guiding documents to help shape the
Regulating Plan discussions. Diversification is a technique that reduces risk by
allocating investments among various financial instruments, industries, and other
categories. It aims to maximize returns by investing in different areas that would
each react differently to the same event.And a managing director is someone who
is responsible for the daily operations of a company, organization, or corporate
division. In some countries, the term is equivalent to CEO (Chief Executive
Officer) the executive head of a company, the managing director is also expected
to keep a company solvent and to promote expansion and innovation within the
industry.