Case studies on Power and politics.

Mr Kabir was working I a Administration Department as officer Administration. He

was responsible for keeping account of all the Vehicles of the company apart from
other arrangements including the guesthouse of the company. Mr Kabir has been
working in the company for 6 years in the same grade without promotions. He was
supposed to be very honest in his job.

Once the GM of the factory Mr Rakesh Gupta , requested for the company car during
office time for his personal work. Mr Kabir refused it saying that it can not be given
during the office work as the work would suffer due to its duty to go to bank. Mr
Gupta became quite upset and asked his boss MR srivastava to give the car.

Mr Sk Srivasatava ( Sr Manager Admn ) was too happy to oblige Mr Gupta as he

wanted one of his relatives to be employed as Officer. Hence he fired Mr Kabir for his
disobedience and threatened to transfer him to stores if he continued to show
disrespect to Senior officers

Kabir was also active member of staff union. He immediately went to the Union
President and informed him about the misuse of the company car for private purpose
by GM at the cost of the office work. It was decided that Kabir would send a note
in writing to Mr Srivastava asking him to approve sending the car to the house of Mr
Gupta . Mr Srivastava understood the repercussions and refused to sign the approval
. He lent his own car to Mr Gupta .

1. What power was being used by Kabir ?

2. What power Mr Srivastave was using ?

3. What was the game Kabir played when Srivatava ordered the car ?

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 MTZ Pistons Ltd
Case of Organizational politics

MTZ was manufacturer of pistons in Gurgaon . It was leading manufacture in the

region . It was supplying pistons to Maruti Ltd. Recently it was failing in
commitments to Maruti due to low production.

CEO Mr Dave asked Mr Ramesh Sharma ( Works Manager) the reason for low
production in his shop . Mr Sharma, immediately informed that it was due non
availability of castings in the shop which affected the production.

But the fact was there was enough stock in the shop floor. Mr Sharma was not happy
with the Purchase Manager Mr Shafi as Purchase Manager has recently informed the
CEO about huge wastage of material in the shop floor by the Machine shop. This
resulted in works manager getting firing from CEO. Actually Mr Sharma sent back 500
castings which were received day before yesterday to Stores department stating
that they need to be checked once again due to their hardness.

Mr Dave rang up Purchase Manager and said that production is stopped due to
shortage of castings. Shafi informed about the recent lot of 500 castings which came
day before yesterday . Pat came the reply of CEO that he should come to shop
floor and see what is happening rather than enjoying comfort in the office .

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MTZ Pistons Ltd

In the same company a supervisor named Saraswat was known to be close to Works
Manager as he was from the same Village . They used to frequent each others house.

At the annual appraisals , the boss of supervisor did not recommend him for promotion
as Saraswat was not able to deliver results. Often Machine Shop could not supply the
items as Saraswat was not at all target conscious. In spite of his recommendation for
not promoting him, WM overruled the Supervisor saying that it was fault of Supervisor
if the targets were not achieved. WM also fired him for putting responsibility on Mr
Saraswat while he should own the responsibility for the act.

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 CASE STUDY II
Excel Corporation Ltd on power and politics

There was a company was located in UP with head quarters in Delhi. The Unit was
manufacturing mopeds in its plant at Allahabad. The turnover of the plant was 100
Crs. It made a loss of 3 crs in the lst fiancial year. The MD was under great pressure to
turn it around so that he can survive.

The MD MR Gupta was having second line Managed by Mr Bali VP (Finance ) and Mr
Krishna VP(Production) Mr Ram kumar VP (Purcahse). Mr Bali and Mr Krishna has
secret desire of becoming MD after Mr Gupta leaves.

The average production of Mopeds was 150 per day at present in the company . break
point was 200 mopeds. The plant was designed for it.The machinery was imported
from Italy and was 20 yrs old.

One day , production of Mopeds was only 125 in the day. MD wanted to know the
reason for the same. The production head Mr .Ram Kumar knew that production was
less as Machine shop did not produce a part for the engine which stopped the
production. This was due to non arrival of the casting from the party. But he also
informed MD that party supplying the castings was not paid money by Finance

MD called Finance head, who informed him that he stopped the payment as there is
dispute regarding the past supplies and he has asked the company to send their
accountant for accounts reconciliation. Mr Bali also informed that Audit has taken
objection last year on such payments to parties when disputes are not resolved.

1 Describe importance of political perspective