1. Do global businesses consider their stakeholders? Presented by Jamie Norman, Simon Thompson, Mark Fernandes, Mohummed Tala, Sarah Simpson & Lisa Warne

2. Contents What do we mean by globalisation? Who are stakeholders? 5 Companies …. 3 Countries Summary of the companies approaches Are they taking account of stakeholders? References

3. What do we mean by globalisation? … the growing integration of economies and societies around the world (World Bank 2008) Globalisation is essentially … - the breakthrough that capitalism had to eventually come to in order to enable continued accumulation and growth in production sales, consumption, trade and investment … - an outcome of the build up of enormous pressure on the part of the [capitalist] agencies to get rid of … barriers so that they can gain better access to the many fields of activity previously blocked to them. (Trainer 2002)

4. Who are stakeholders? … any identifiable group or individual who can affect the achievement of an organization’s objectives or who is affected by the achievement of an organization’s objectives (Freeman and Reed 1983)

5. Introduction… disney… their values, mission statement etc…. Stakeholder values. Disney in the UK

6. Disney in India Disney in the USA

7. What is their purpose? How do they succeed? What is their strategy? Stakeholder Values (Tesco 2008) Tesco in the UK Legendary loyalty card scheme Shareholders clash with ‘Freedom Food’ (Independent 2008; Turner and Wilson 2006)

8. Tesco in India Tesco in the USA A new name (entered market 2007, 53 Shops, 669 employees) Re-branding – a healthy image (Tesco 2008) Source £170m of product per annum Opening cash & carry warehouse IT & BP for the global business (3k employees) Introducing Western standards (e.g. crèche) (BBC 2008; Gupta 2007; Tesco 2008)

9. Toyota in the UK Recently overtaken GM to become the World’s Largest Automotive Manufacturer. IW 1000 - 5 th largest manufacturer in the World today. (Industry Week, 2008) Key Values – Environmentally Friendly, Corporate Social Responsibility, Customer Focused, hard working, Philanthropic. “Toyota – Moving Forwards” University of Derby –Toyota’s HRM policies in the UK plant. The production system is designed to maximise four identified HRM Goals: 1. Organisational Integration 2. Employee Commitment 3. Flexibility & Adaptability 4. Quality “Using the absolute minimum of staff (the Lean Production System),relying on intense horizontal communication of information (the Kanban System),and employing precisely-timed delivery and assembly (the Just-in-Time System), all combine to position the assembly worker as, perhaps, the key power holder among the many stakeholders in the enterprise.” (Winfield 1994) 1992 Toyota UK Started production, Derby.

10. Toyota in India Toyota in the USA JV with Kirloskar Motor Company (11% Equity). (JCN Newswire, 2008) 35 billion yen expansion - production increased by 100,00 units $5.6m on Newly Built Training School in Bangalore. (Murphy, 2008) Test Case for Future of Toyota Stakeholders - Corporate Social Responsibility, Competitive Edge 1988, Toyota Expand to Kentucky, USA. Adapted Japanese Management Techniques to American work culture. (Besser, 1996). Kaizen & Just In Time systems - team-based, co-operative culture. (Fang & Kleiner, 2003) Stakeholders – Staff valued / motivated, effective management May 2006 - Hideaki Otaka, president of Toyota Motor North America - named in a sexual-harassment lawsuit. Stakeholders – New president – moral issue – bad press.

11. Introduction… their values, mission statement etc…. Stakeholder values. McDonald’s in the UK McDonald’s

12. McDonald’s in India McDonald’s in the USA McDonald’s

13. Playboy in the UK Less known in the UK for their contribution to the sex industry Controversy has been caused by the introduction of the retail section Anger as products are becoming increasingly more popular with children Confusion for children as playboy products placed next to products with other well known characters Not showing a clear indication of the industry behind the bunny image (BBC 2008)

14. Playboy in India Playboy in the USA Very much in contrast with the USA Playboy has been very careful in introducing their magazines Many changes have been made, including the name, to ensure it is accepted into the Indian culture Less sexual content Founding country of playboy Much more open about their activities Exploitation of workers from different industries Found to making videos such as the girls of Wal-Mart US Air force sergeant fired after posing for playboy (BBC 2007)

15. In summary ….

16. Well…have they?

17. References BBC. (2007). "Air force demotes Playboy poser." [online] Retrieved 4th November 2008, from http://news.bbc.co.uk/1/hi/world/americas/6364585.stm BBC. (2008). "Playboy reviews UK sales displays." [online] Retrieved 4th November 2008, from http://news.bbc.co.uk/1/hi/business/7415538.stm. BBC. (2008). "Tesco planning venture in India." [online] Retrieved 2nd November 2008, from http://news.bbc.co.uk/1/hi/business/7555530.stm. Freeman, E. and Reed, D. (1983). "Stockholders and stakeholders: A new perspective on corporate governance". California Management Review 25(3), 88-106. Gupta, A. D. (2007). "Social responsibility in India: towards global compact approach". International Journal of Social Economics 34(9), 637-663. Independent. (2008). "Tesco shareholders reject TV chef's chicken welfare call." [online] Retrieved 6th November 2008, from http://tinyurl.com/6nrmmv. Tesco. (2008). "About us." [online] Retrieved 6th November 2008, from http://www.tescoplc.com/plc/about_us/. Trainer, T. (2002). "Two Common Mistakes About Globalisation". Humanomics 18(1/2), 1-6. Turner, J. J. and Wilson, K. (2006). "Grocery loyalty: Tesco Clubcard and its impact on loyalty". British Food Journal 108(11), 958-964. World Bank (2008). "Globalization definition." [online] Retrieved 30th October 2008, from http://www1.worldbank.org/economicpolicy/globalization/.