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MB0038 - Management Process and Organizational Behavior - 4 Credits

Q1.Describe the concept of vision in an organization with an example how is it different from mission
statement?
Answer: - Meaning -3
"Corporate [or organizational] vision is a short, succinct, and inspiring statement of what the organization
intends to become and to achieve at some point in the future, often stated in competitive terms. Vision refers to
the category of intentions that are broad, all-inclusive and forward-thinking. It is the image that a business
[organization] must have of its goals before it sets out to reach them. It describes aspirations for the future,
without specifying the means that will be used to achieve those desired ends."
A company vision statement is an important part of the overview of a business plan. It is one part your dream
for your company and another part your direction for your business in the future. The vision statement is your
articulation of your dream of where you want your business to go in the future. The vision statement is
generally written with a long-term perspective in mind.
A vision statement for a company or organization focuses on the potential inherent in the company's future, or
what they intend to be. While a vision statement might contain references to how the company intends to make
that future into a reality, the how is really part of a "mission" statement, while the vision statement is simply a
description of the what, meaning, what the company intends to become.
Example - 2
IKEA: The IKEA vision is to create a better everyday life for the many people. We make this possible by
offering a wide range of well-designed, functional home furnishing products at process so low that as many
people as possible will be able to afford them.
Wal-Mart: Saving people money to help them live better was the goal that Sam Walton envisioned when he
opened the doors to the first Wal-Mart more than 40 years ago. Today, this mission is more important than ever
to our customers and members around the world.
Explanation of parts of vision 3
1. Mission/core business
The mission of an organization is in fact the reason for its existence. The French expression raison dtre nicely
expresses this. Why are we here? Ultimately, the organization does not serve a purpose in itself, but a purpose in
its environment. If not, in the end it is deemed to disappear. The mission of an organization is largely
determined by its core business, its main field of activity. The organization, is it a school, a bank, a hospital or a
training centre? Still, the mission of one primary school may differ from another one.
The mission is the answer to the question: why are we here, what purpose do we serve?
A nice example of a mission is Walt Disneys. Their mission is formulated as to bring happiness to millions
and to keep up healthy American values.
The mission/core business of an organization is probably the most stable element in the vision. In contrast to the
other elements it will not change much over time.
2. Core activities/products and clients
If you know the core activities/products and clients of an organisation, you have in fact an answer to the
question: how does the organization try to realise its mission? For example, the core activities of a university
may include:

education of students
post-graduate distant learning
3. Working approach and core values
Working approach and core values go hand in hand. Core values determine how we want to carry out our work,
how we deal with each other inside our organization and how we act in relation to people outside the
organization. For example: the working approach of a training institute may vary from offering fixed training
programmers to tailor-made programmers. One of the working approaches of supermarkets is that clients serve
themselves. Alternatively, lots of small shops are still based on full service by the shopkeepers.
Difference between vision and mission statement? 2

A mission statement concerns what an organization is all about.

A vision statement is what the organization wants to become.


A mission statement answers three key questions:

What do we do?

For whom do we do it?

What is the benefit?


A vision statement, on the other hand, describes how the future will look if the organization achieves its
mission. A mission statement gives the overall purpose of an organization, while a vision statement describes a
picture of the "preferred future." A mission statement explains what the organization does, for whom and the
benefit. A vision statement, on the other hand, describes how the future will look if the organization achieves its
mission.
Examples: Centers for Disease Control Mission To promote health and quality of life by preventing and
controlling disease, injury, and disability Vision Healthy People in a Healthy World
Q2.Define the term management explain the scientific management theory proposed by Taylor
Answer: - Definition 2
Management in all business and organizational activities is the act of coordinating the efforts of people to
accomplish desired goals and objectives using available resources efficiently and effectively. Management
comprises planning, organizing, staffing, leading or directing, and controlling an organization (a group of one or
more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the
deployment and manipulation of human resources, financial resources, technological resources, and natural
resources.
Management is the process of combining and coordinating a range of resources, either in the form of money,
people or equipment, to achieve an organizations goals.
Brief on evolution of management - 2
1. Pre- scientific management period.
2. Modern management approaches represented by behavioral science movement, quantitative approach,
systems approach etc
Explanation of scientific management theory 6
The real development of management thought began with the scientific management approach stated by Taylor,
though some of the concepts have been developed by thinkers earlier to Taylor. Early management thoughts
have come from the Roman Catholic Church, military organizations, the Cameraliasts, a group of German and

Austrian public administrators and intellectuals from the sixteenth centuries. Their concepts of management
were mostly related to the principles of specialization, selection of subordinates and their training and
simplification of administrative procedures.
In the later period, contributions were made by Charles Babbage, James Watt and Robinson Boulton, Robert
Owen, Towne and Simon.
Charles Babbage was professor of Mathematics at the Cambridge University and he suggested the use of
accurate data obtained through rigid investigation in the management of an undertaking. James Watt Junior
(1796-1848) and Robinson Boulton (1770-1842) used the management techniques such as market research and
forecasting, production planning, planned machine layout, standardization of components and parts, elaborate
statistical records, maintenance of control report, cost accounting data, provision of welfare of personnel etc.
Robert Owen (1771-1858) managed a group of textile mills in Scotland and is well known as the promoter of
co-operative and trade union movements in England. Henry S. Simon was one of those effective thinkers who
advocated that in economic and social systems, the role of capital is constructive, creative and entrepreneurial
other than of exploiting the resources for its own benefit.
The contributions of management thinkers started above were limited mostly to the field of developing the
concept to make resources more effective at the shop floor levels. These contributions were made bit by bit and
in a haphazard manner and have failed to stimulate management as a distinct discipline for further study.
However, the various ideas started by them have created awareness about managerial problems. A stage was set
by the end of the nineteenth century for making a systematic study of management and a beginning was made
by Fredrick Taylor at the beginning of the present century whose thoughts came to be known as Scientific
Management.
Q3.Give the definition and importance of planning in an organization and explain the steps in planning.
Answer: - Definition 2
Process of identifying an organization's immediate and long-term objectives, and formulating and monitoring
specific strategies to achieve them, It also entails staffing and resource allocation, and is one of the most
important responsibilities of a management team.
Planning, also called urban planning or city and regional planning, is a dynamic profession that works to
improve the welfare of people and their communities by creating more convenient, equitable, healthful,
efficient, and attractive places for present and future generations.
Importance of planning in an organization 3
1. Increases efficiency: Planning makes optimum utilization of all available resources. It helps to reduce
wastage of important resources and avoids their duplication. It aims to give highest returns at the lowest
possible cost. Planning thus increases the overall efficiency.
2. Reduces business-related risks: There are many risks involved in any modern business. Planning helps to
forecast these business-related risks. It also helps to take the necessary precautions to avoid these risks. Thus,
planning reduces business risks.
3. Facilitates proper coordination: Often, the plans of all departments of an organization are well coordinated
with each other. Similarly, the short-term, medium-term and long-term plans of an organization are also
coordinated with each other. Such proper coordination is possible only because of efficient planning.

List the steps in planning 1


Step 1: analyze the mission
Step 2: develop fitness objectives
Step 3: assess the unit
Step 4: determine training requirements
Step 5: develop fitness tasks
Step 6: develop a training schedule
Step 7: conduct and evaluate training
Explain steps 4
The steps in the planning process are:
1.Setting Objectives- If management set long and short term goals for their company they are giving not only
their employees something to refer to, they are establishing what management hopes to acquire in the near and
far future.
2. Analyzing and Evaluating the Environments- The management team determines what resources available to
them; manpower, supplies, finances, and company regulations/policies. If a company compiles a database with
specific information about each of the resources above, they can be better prepared to plan out what events need
to take place and how they are going to be achieved.
3. Identifying the Alternatives- Formulating a backup plan in case something comes up and hinders the original
plan. This is having a list of contacts who can work late or on weekends to get tasks completed.
4. Evaluating the Alternatives- Having a plan on what to do if the set goals cannot be made in a timely manner;
such as approve overtime and hiring temporary specialists to aid in completing the task at hand in a timely
manner. It is also a good idea to have a backup on resources so that if a problem arises, there is financial
stability to cover all expenses.
Q4.What is meant by leading? Describe the characteristics of leading.
Explain concept of leading 3
The term leading is derived from the days of hot metal type when strips of lead were placed between lines of
type to provide line spacing. Leading is the space between lines of type. It is generally measured
from baseline to baseline and expressed in points.
Some software may use the term line spacing while others still refer to this spacing as leading. Word processing
software often has the option to use single, double, or even triple spacing or to specify specific leading in points
or other measurements. Programs that offer automated leading calculate what it believes to be the correct
leading based on the text size. When a line of type includes more than one type size, this automatic leading can
result in odd or inconsistent line spacing.
List characteristics- 1

1. Visionary
2. Team Builder
Explanation 6
1. Visionary- A leader must have a clear picture of the future while remaining focused on the present. This can
be hard because as Jonathan Swift said, Vision is the art of seeing things invisible. If a leader takes the time to
think about the future of their industry and the possible changes, then they will see the invisible and stay
ahead of todays fast paced society. Effective leaders have a clear picture of the future then gather people around
them who can produce results which lead to the vision being accomplished.
2. Team Builder- An essential characteristic of leading others is the ability to build and maintain teams of
people. Good leaders know the value of having a united team that can effectively work together to produce
results. This can be done if a leader puts the right people in the right places within the team or organization.
Doing this requires taking the time to know and understand your people
3. Communicator- A leader needs to be able to effectively communicate with others, both verbally and nonverbally. The leaders words and body language needs to be lined up with the message they are
communicating.Becoming a better communicator is a skill every leader must develop. This is because so much
of leadership is about communicating. James Humes said, The art of communication is the language of
leadership.
4. Change Agent- Leaders need to avoid the dangers of not changing by becoming change agents. The status
quo might be to stay the same and resist change but effective leaders chose to rise above the status quo and
create change. Great organizations and teams only happen if the leader is moving forward. Many of the
businesses and organizations that have fallen during the recession were resistant change and kept doing what
they have always done. Those who have stayed strong have leaders who were creating change.
5. Producer- Effective leaders have the ability to produce and can influence others to produce results in given
areas. The true test of an effective leader is their ability to produce desired results, whether its individual or
team results. Its wise to remember leadership and results are closely connected with each other.
Q5.What are attitudes? Explain the components and functions of attitude.
Answer:- Meaning of attitude 2
A predisposition or a tendency to respond positively or negatively towards a certain idea, object, person, or
situation Attitude influences an individual's choice of action, and responses to challenges, incentives, and
rewards
(together
called
stimuli).
Listing the components -1
1. Affective component
2. Behavioral (or conative) component
Explanation of components- 3
1. Affective component: this involves a persons feelings / emotions about the attitude object. For example: I
am scared of spiders.
2. Behavioral (or conative) component: the way the attitude we have influences how we act or behave. For
example: I will avoid spiders and scream if I see one.

3. Cognitive component: this involves a persons belief / knowledge about an attitude object. For example: I
believe spiders are dangerous.
List the functions 1
1. Self / Ego-expressive
2. Adaptive

Explanation of functions- 3
1. Self / Ego-expressive. The attitudes we express (1) help communicate who we are and (2) may make us feel
good because we have asserted our identity. Self-expression of attitudes can be non-verbal too: think
bumper sticker, cap, or T-shirt slogan. Therefore, our attitudes are part of our identify, and help us to be
aware through expression of our feelings, beliefs and values.
2. Adaptive. If a person holds and/or expresses socially acceptable attitudes, other people will reward them
with approval and social acceptance. For example, when people flatter their bosses or instructors (and
believe it) or keep silent if they think an attitude is unpopular. Again, expression can be nonverbal [think
politician kissing baby]. Attitudes then, are to do with being apart of a social group and the adaptive
functions helps us fit in with a social group. People seek out others who share their attitudes, and develop
similar attitudes to those they like.
3. The ego-defensive function refers to holding attitudes that protect our self-esteem or that justify actions that
make us feel guilty. For example, one way children might defend themselves against the feelings of
humiliation they have experienced in P.E. lessons is to adopt a strongly negative attitude to all sport. People
whose pride has suffered following a defeat in sport might similarly adopt a defensive attitude: Im not
bothered, Im sick of rugby anyway. This function has psychiatric overtones. Positive attitudes towards
ourselves, for example, have a protective function (i.e. an ego-defensive role) in helping us reserve our selfimage.
Q6. Define leadership. Differentiate between authoritarian and democratic leadership style.
Answer: - Definition of leadership- 2
Leadership is a process by which a person influences others to accomplish an objective and directs the
organization in a way that makes it more cohesive and coherent. This definition is similar to Northouse's (2007,
p3) definition Leadership is a process whereby an individual influences a group of individuals to achieve a
common goal.
Leadership is something essential to any group or organization. What a leader does is usually very difficult to
describe in words. The definition of leadership seems so vague because of the many responsibilities one holds.
As difficult as it may seem, there are 3 quite famous ways in giving a definition of leadership, coming from
different perspectives
A leader steps up in times of crisis, and is able to think and act creatively in difficult situations.
Unlike management, leadership cannot be taught, although it may be learned and enhanced
through coaching or mentoring. Someone with great leadership skills today is Bill Gates who, despite
early failures, with continued passion and innovation has driven Microsoft and the software industry to success.
Meaning & characteristics of authoritarian leadership style- 4
The authoritarian leadership style or autocratic leader keeps strict, close control over followers by keeping close
regulation of policies and procedures given to followers. To keep main emphasis on the distinction of the
authoritarian leader and their followers, these types of leaders make sure to only create a
distinct professional relationship. Direct supervision is what they believe to be key in maintaining a successful
environment and follower ship. In fear of followers being unproductive, authoritarian leaders keep close
supervision and feel this is necessary in order for anything to be done.
Examples of authoritarian communicative behavior: a police officer directing traffic, a teacher ordering a
student to do his or her assignment, and a supervisor instructing a subordinate to clean a workstation. All of

these positions require a distinct set of characteristics that give the leader the position to get things in order or
get a point across. Authoritarian Traits: sets goals individually, engages primarily in one-way and downward
communication, controls discussion with followers, and donates interaction

An authoritarian leadership style is being used when a leader who dictates policies and procedures, decides
what goals are to be achieved, and directs and controls all activities without any meaningful participation by the
subordinates, the characteristics of authoritarian leadership style are
1.
2.
3.
4.
5.
6.
7.
8.

The autocratic leader retains all power, authority, and control, and reserves the right to make all
decisions.
Autocratic leaders distrust their subordinates ability, and closely supervise and control people under
them.
Autocratic leaders involve themselves in detailed day-to-day activities, and rarely delegate or empower
subordinates.
The autocratic leader adopts one-way communication. They do not consult with subordinates or give
them a chance to provide their opinions, no matter the potential benefit of such inputs.
Autocratic leadership assumes that employee motivation comes not through empowerment, but by
creating a structured set of rewards and punishments.
Autocratic leaders get work done by issuing threats and punishments and evoking fear.
The primary concern of autocratic leaders remains dealing with the work at hand and not on
developmental activities.
Autocratic leaders assume full responsibility and take full credit for the work

Democratic leadership style- 4


The democratic leadership style consists of the leader sharing the decision-making abilities with group
members by promoting the interests of the group members and by practicing social equality.[4]
This style of leadership encompasses discussion, debate and sharing of ideas and encouragement of people to
feel good about their involvement. The boundaries of democratic participation tend to be circumscribed by the
organization or the group needs and the instrumental value of people's attributes (skills, attitudes, etc.). The
democratic style encompasses the notion that everyone, by virtue of their human status, should play a part in the
group's decisions. However, the democratic style of leadership still requires guidance and control by a specific
leader. The democratic style demands the leader to make decisions on who should be called upon within the
group and who is given the right to participate in, make and vote on decisions. [5] Traits of a Good Leader
compiled by the Santa Clara University and the Tom Peters Group:

Honest Display sincerity, integrity, and candor in all your actions. Deceptive behavior will not inspire
trust.

Competent Base your actions on reason and moral principles. Do not make decisions based on
childlike emotional desires or feelings.

Forward-looking Set goals and have a vision of the future. The vision must be owned throughout the
organization. Effective leaders envision what they want and how to get it. They habitually pick priorities
stemming from their basic values.

Inspiring Display confidence in all that you do. By showing endurance in mental, physical, and
spiritual stamina, you will inspire others to reach for new heights. Take charge when necessary.
Intelligent Read, study, and seek challenging assignments.
Fair-minded Show fair treatment to all people. Prejudice is the enemy of justice. Display empathy by
being sensitive to the feelings, values, interests, and well-being of others.
Broad-minded Seek out diversity.
Courageous Have the perseverance to accomplish a goal, regardless of the seemingly insurmountable
obstacles. Display a confident calmness when under stress.
Straightforward Use sound judgment to make a good decisions at the right time.
Imaginative Make timely and appropriate changes in your thinking, plans, and methods. Show
creativity by thinking of new and better goals, ideas, and solutions to problems. Be innovative!

Research has found that this leadership style is one of the most effective and creates higher productivity, better
contributions from group members and increased group morale.
Democratic leadership can lead to better ideas and more creative solutions to problems because group members
are encouraged to share their thoughts and ideas. While democratic leadership is one of the most effective
leadership styles, it does have some potential downsides. In situations where roles are unclear or time is of the
essence, democratic leadership can lead to communication failures and uncompleted projects. Democratic
leadership works best in situations where group members are skilled and eager to share their knowledge. It is
also important to have plenty of time to allow people to contribute, develop a plan and then vote on the best
course of action.