Sie sind auf Seite 1von 60

BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.

Prof/MBA

UNIT II
DESIGNING THE MANAGERIAL JOB
Identifying Managerial Talent – Selection and Recruitment – Managerial Skills Development –
Pay and Rewards – Managerial Motivation – Effective Management Criteria – Performance
Appraisal Measures – Balanced Scorecard - Feedback – Career Management – Current Practices.

PART A
1. Define recruitment. (Nov/Dec 2010)
Recruitment is the process of locating and encouraging potential applicants to
apply for existing and anticipated job opening. It is actually a linking function, joining together
those with jobs to fill and those seeking jobs.

2. What are the factors that affect recruitment efforts? (Nov/Dec 2011)
These are broadly classified into two categories:
1. Internal Factors
Size of the Organisation, Recruiting Policy, Image of Organisation, Image of Job
2. External Factors
Demographic Factors, Labour Market, Unemployment Situation, Labour Laws, Legal
Considerations
3. What are the constraints on recruitment?

 Reputation of the Enterprise


 Unattractive Jobs
 Organisational Policies
 Trade Union Requirements
 Government Policies

4. What are the steps involved in recruitment process?

1
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

5. What is Internal Recruitment?


Persons who are already working in the organisation constitute the ‘internal sources’.
Whenever any vacancy arises, someone from within the organisation is upgraded, transferred and
promoted.

6. Mention any four objectives of recruitment. (Nov/Dec 2013)


 To determine the organization present and future recruitment.
 Select right people ti right job at right time.
 To increase the pool of qualified job applications at minimum cost.
 To meet the organization responsibility for affirmative action programs.
7. What is application blank? (Nov/Dec 2013)
Application blank or form is one of the most common methods used to collect
information on the various aspects of the applicants’ academic, social, demographic, work
related background and references.
8. What are the advantages of internal recruitment?
 Improves the probability of a good selection, since information on the individual’s
performance is readily available

2
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Candidates who are chosen internally knows the organisation very well.

9. What are the disadvantages of internal recruitment?


 It can also be dysfunctional to organisation to utilize inferior internal source only
because they are there, when candidates are available outside
 Generates infighting among the rival candidates for promotion, as well as decreases
the morale of those not selected.

10. What are the methods of internal recruitment?


i) Job Posting
The standard procedure followed for internal source of recruitment is to
post any new job openings and to allow any current employee to apply for the position.

ii) Employee referrals/recommendations


When the current employees are not interested in the position posted then
they can use these notices for other individuals for the post, both within the organisation as
well as outside the organisation -this is what is called as employee referral.

11. What is external recruitment?


The external sources lie outside the organisation. The search is done only when
the position is not closed internally.

12. What are the advantages of external recruitment?


 It helps in motivating internal employees to work hard and compete with external
candidates. This creates competitive atmosphere.
 Talented people join senior managerial positions and help in the growth of the organisation.

13. What are the disadvantages of external recruitment?


 Hiring cost can go substantially high.
 It takes time to advertise, to screen, to test and to select suitable employees.
3
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

14. What are the methods of external recruitment?


 Advertisements
 Employment agencies
 Students from colleges and universities/Campus Recruitments
 Professional organisation
 Cyberspace recruiting/e-recruiting
 Unsolicited applicants
 Job fairs

15. What are the steps involved in the process of selection?

16. Define orientation.


Orientation refers to activities involved in introducing a new employee to the
organisation and his/her work unit. It expands the information received during the recruitment
and selection stages, and helps to reduce the initial anxiety a new employee has when entering a
new job.
4
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

17. Define socialization?


Socialization refers to the process of adaptation. This aims at helping new managers
adapt to their new organisation and work responsibilities.

18. What are the stages of socialization?


The three stages of Socialization
 Pre-arrival
 Encounter
 Metamorphosis

19. What is executive development?


Executive development is a systematic process of growth and development by which the
managers develop their abilities to manage. It is concerned with improving the performance of
the manager by giving them opportunities to grow.

20. What is the importance of training programs?


 Training is a learning experience in that it seeks a relatively permanent change in an
individual that will improve the ability to perform on the job.
 Training involves changes in skills, knowledge, attitude and behavior.
 Training implies a change in what employees know, how they work, their attitude
towards their work, their interaction with their coworkers or superiors

21. What is coaching?


In coaching the trainee is placed under a particular supervisor who acts as an instructor
and teaches job knowledge and skills to the trainee. He tells him what he wants him to do, how it
can be done and followed up while it is being done and corrects errors.

22. What are the important methods of executive development?

5
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

On-the-job Off-the-job
training training
Coaching Case study
Conference
Job rotation Role playing

Under study In basket method


Business game
Multiple management Sensitivity training

23. What is Job Rotation?


The transferring of executives from job to job and from department to department in a
systematic manner is called job rotation. He has to assume full responsibility and perform all
kinds of duties. The idea behind this is to give him the required diversified skills and a broader
outlook, which is important at the senior manager level.

24. What is Role Playing?


A problem situation is simulated by asking the participant to assume the role of a person
in managerial position in the organisation.

25. Define motivation. (May/June 2013)


According to Scott, “Motivation is a process of stimulating people to action to
accomplish desired goals”. Motivation has three distinct features
 It results from a felt need
 It is goal directed
 It persist until the satisfaction of a need state occurs.

26. What do you mean of motivation?


Motivation is the set of processes that moves a person towards a goal. The
supervisor (motivator) wants to influence the factors that motivate employees to higher levels of
productivity

6
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Any influence that triggers, directs or maintains behavior


 The Process that account for an individual’s intensity, direction and persistence of efforts
towards attaining a goal.
27. What are the various needs of Maslow?
 Physiological/Survival needs - Food, Clothing, Shelter, Air
 Security - Feel safe, absence of pain, threat, or illness
 Affiliation - Friendship, company, love, belonging
 Esteem Needs - Self-respect, achievement, recognition, prestige
 Self-Actualization - Personal growth, self-fulfillment, realization of full potential

28. What are the elements of Vroom’s Expectancy Theory?


 Expectancy-increases the belief that employees effort will lead to successful
performance
 Instrumentality-increases the belief that performance leads to valued rewards
 Valence-increases the expected value of outcomes resulting from desired performance
29. What is Equity Theory?
Stacy Adams has proposed this theory. According to this theory individuals try to find a
balance between their inputs, viz amount of effort, time and energy expended to do the work and
the corresponding output received in return for the work done, in the form of pay, incentives and
other benefits.

30. What are the elements of Equity Theory?


Elements of Equity Theory
 Outcome/input ratio
o Inputs — what employee contributes (e.g. skill, time, effort)
o Outcomes — what employees receive (e.g. pay, incentives)
 Equity evaluation
o Compare outcome/input ratio with others who are in the same line.

7
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

31. Define Job design.


Job design (also referred to as work design or taskdesign) is a core function of human
resource management and it is related to the specification of contents, methods and relationship
of jobs in order to satisfy technological and organizational requirements as well as the social and
personal requirements of the job...

32. What is the relation between Pay and Performance?

33. Define Job enrichment.


Job enrichment is a management concept that involves redesigning jobs so that they are
more challenging to the employee and have less repetitive work. The concept is based on a 1968
Harvard Business Review article by psychologist Frederick Herzberg titled 'One More Time

34. What do you mean by Quality of Work Life?


Quality of work life (QWL) refers to the favorableness or unfavourableness of a job
environment for the people working in an organization

35. What are the steps involved in behavior modification?


Organizational behavior modification is yet another technique of influencing behavior of
people in organisations.
Step 1- Identification of critical behaviors
Step 2-Measurement of the behaviors

8
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

Step 3-Functional analysis of the behavior


Step 4-Development of an intervention strategy
Step 5-Evaluation to ensure performance improvement
36. What is Management by objectives (MBO)
It is defined as a process whereby superiors and subordinates jointly identify the
common objectives, set the results that should be achieved by the subordinates assess the
contribution of each individual in terms of results expected of him and integrate individuals with
the organisation so as to make best use of organisational resources.

37. What are the steps of MBO?

Setting
objectives

Appraising
Developing
Annual
Action Plan
performance

Conducting
periodic
reviews

38. What is the relationship between strategy and performance appraisal?


Strategy Performance appraisal Appraiser
Stability, sustainable
Traditional Superior
growth
Expansion, diversification Modern 360 appraisal
Retrenchment Traditional superior

39. What is feedback?


Feedback is a planned, systematic intervention in the life of an individual who is capable
of choosing the goal and the direction of his own development.

9
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

40.What are the elements of Balanced score card?

41. Define career management. (Nov/Dec 2010),( Apr/May 2017)


Career Management is the combination of structured planning and the active
management choice of one's own professional career.

42. Why would it be good to recruit from within? (May/June 2012)


It is common for companies to use head-hunting agencies to lure future leaders from
competitors. But many organizations argue that recruiting from within saves time and money,
maintains continuity, and improves morale.

43. Define managerial effectiveness. (May/June 2013)


Managerial effectiveness is a leader’s ability to achieve desired results. How well he
applies his skills and abilities in guiding and directing others determines whether he can meet
those results effectively. If he can, his achievements are poised to help the organization gain a
competitive edge against rival organizations heading into the future.

10
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

44. Define Career.(Nov/Dec2012)


The progress and actions taken by a person throughout a lifetime, especially those related
to that person's occupations. A career is often composed of the jobs held, titles earned and work
accomplished over a long period of time, rather than just referring to one position.

45. Define balance scorecard./(Nov/Dec 2014)Brief balanced scorecard and its


benefits.(April/May 2015).

The balanced score card is a stategic planning and management system used to align
business activities to the vision and strategy of the organization by monitoring performance
against stratagic goals.

Benefits of balanced scorecard:


1. It is used to align the business activities to vision and strategy.
2. It improves internal & external communication
3. It is used to monitor organizations performance.
46. What is selection?(Apr/May 2016)
The Selection is the process of choosing the most suitable candidate for the vacant position
in the organization. In other words, selection means weeding out unsuitable applicants and selecting
those individuals with prerequisite qualifications and capabilities to fill the jobs in the organization.

11
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

PART B
1. Explain the process of recruitment in detail.
Recruitment is the process of finding and attempting to attract job candidates who are
capable of effectively filling job vacancies. The recruitment process consists of the following
steps:

 Identification of vacancy
 Preparation of job description and job specification
 Selection of sources
 Advertising the vacancy
 Managing the response

a) Identification of vacancy:
The recruitment process begins with the human resource department receiving requisitions
for recruitment from any other department of the company. These contain:
 Posts to be filled
 Number of persons
12
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Duties to be performed
 Qualifications required

b) Preparation of job description and job specification:


A job description is a list of the general tasks, or functions, and responsibilities of a
position. It may often include to whom the position reports, specifications such as the
qualifications or skills needed by the person in the job, or a salary range. A job specification
describes the knowledge, skills, education, experience, and abilities you believe are essential for
performing a particular job.

c) Selection of sources:
Every organization has the option of choosing the candidates for its recruitment processes
from two kinds of sources: internal and external sources. The sources within the organization
itself (like transfer of employees from one department to other, promotions) to fill a position are
known as the internal sources of recruitment. Recruitment candidates from all the other sources
(like outsourcing agencies etc.) are known as the external sources of the recruitment.

d) Advertising the vacancy:


After choosing the appropriate sources, the vacancy is communicated to the candidates
by means of a suitable media such as television, radio, newspaper, internet, direct mail etc.

e) Managing the response:


After receiving an adequate number of responses from job seekers, the sieving process of
the resumes begins. This is a very essential step of the recruitment selection process, because
selecting the correct resumes that match the job profile, is very important. Naturally, it has to be
done rather competently by a person who understands all the responsibilities associated with the
designation. Candidates with the given skill set are then chosen and further called for interview.
Also, the applications of candidates that do not match the present nature of the position but may
be considered for future requirements are filed separately and preserved. The recruitment process
is immediately followed by the selection process.
13
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

2. Explain the sources and methods of recruitment in detail.


The sources of recruitment may be broadly divided into two categories: internal sources
and external sources. Both have their own advantages and disadvantages. Let’s examine these.
a) Internal Recruitment
Persons who are already working in the organisation constitute the
‘internal sources’. Retrenched employees, retired employees, dependents of deceased employees
may also constitute the internal sources. Whenever any vacancy arises, someone from within the
organisation is upgraded, transferred and promoted.
Advantages
 Helps in building a good public relation
 Helps to build morale
 Encourages good individuals who are ambitious
 Improves the probability of a good selection, since information on the individual’s
performance is readily available
 Cost is less
 Candidates who are chosen internally knows the organisation very well.
 When carefully planned, promoting from within can also act as a training device for
developing middle and top managers.
Disadvantages
 It can also be dysfunctional to organisation to utilize inferior internal source only
because they are there, when candidates are available outside
 Generates infighting among the rival candidates for promotion, as well as decreases
the morale of those not selected.
Methods of internal recruitment
i) Job Posting
The standard procedure followed for internal source of recruitment is to post any new job
openings and to allow any current employee to apply for the position. The position notification
can be communicated on a central “position open” bulletin board in the plants/office whenever
required.

14
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

ii) Employee referrals/recommendations


When the current employees are not interested in the position posted then they can use
these notices for other individuals for the post, both within the organisation as well as outside the
organisation -this is what is called as employee referral.
Advantages
 It is an excellent means of locating potential employees in those hard to fill position
 The employees who make referrals are given monetary reward.
Disadvantages
 Recommending by the people may confuse friendship with the job performance
 Individuals like to have their friends join them at their place of employment due to
economic reasons.
 Leads to nepotism-hiring individuals who are related to persons already employed by the
organisation
 Minimizes an organisation’s desire to add diversity to the work place.

Many organisations prefer to fill vacancies through promotions or transfers from within
wherever possible. Promotion involves movement of an employee from a lower level position to
a higher level position accompanied by change in duties, responsibilities, status and value. A
transfer on the other hand, involves lateral movement within the same grade, from one job to
another. It may lead to changes in duties, responsibilities, working conditions but not necessarily
salary.
b) External Recruitment
The external sources lie outside the organisation. The search is done only when the
position is not closed internally. Some of the advantages and disadvantages of this method are
Advantages
 The organisation has the freedom to select candidates from a large pool. People with
requisite qualifications can be selected.
 It paves the way for innovation
 It helps in motivating internal employees to work hard and compete with external
candidates. This creates competitive atmosphere.
15
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Talented people join senior managerial positions and help in the growth of the organisation.
Disadvantages
 Hiring cost can go substantially high.
 It takes time to advertise, to screen, to test and to select suitable employees.
 Existing employees, who have put in considerable service, may resist the process of filling
up vacancies from outside.
 External selection may also end up hiring someone who does not ‘fit’ and who may not be
able to adjust in the new set-up.
Methods of External Recruitment
 Advertisements
 Employment agencies
 Students from colleges and universities/Campus Recruitments
 Professional organisation
 Cyberspace recruiting/e-recruiting
 Unsolicited applicants
 Job fairs
i) Advertisement
The factors that influence the response rates to advertisements are
 Image of the organisation
 Labor market
 Degree to which specific requirements are included in the advertisement.
ii) Employment agencies
The three forms of employments are

State agencies/public agencies


Most public agencies tend to attract and list individuals who have minimum training.
Therefore public agencies tend to attract and place predominantly low-skilled employees.
Private employment agencies
 The private agencies are believed to offer positions and applicants of higher caliber.

16
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Private agencies also provide a guarantee covering six months or a year as protection to
the employer in case the applicant does not perform satisfactorily.
 The private agencies collect their fee either from the employees or the employer, or it can
be split
iii) Students from colleges and universities/Campus Recruitments
Educational institutions at all levels offer opportunities for recruiting recent
graduates. These institutions provide employers an opportunity to witness a prospective
employee’s performance through cooperative arrangements. Educational institutions are an
excellent source of potential employees. High schools/vocational institutes provide lower level
applications. Business/secretarial schools provide administrative staff personnel.
iv) Professional organization
 The executive search /headhunter specialize in middle-level and top level executive
placement.
 The distinguishing features of executive search are their fees. These agencies charge
ascertain percentage of the cost (cost to company) of recruitment from the
candidate whom they refer in their client company.
 A fee up to 35% of the executive’s first year salary is not unusual as a charge for finding
and recruiting individuals.
 These firms do preliminary screening.
 The new arena for locating resumes of qualified employees is looking on Internet.
 Nearly half of all the major U.S companies use Internet facilities to recruit for positions
from the entry-level jobs to senior executive posts.
v) Unsolicited applicants
 We now have web searches for both employee and employers to reduce the gap
between them in the recruiting process of Unsolicited applicants
 Unsolicited applicants are those which reach the employee by letter, telephone, or in
person, constitute a source of prospective applicants.
 This source does provide an excellent supply of stock pilled applicants.

17
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Even if there are no particular openings, when the applicants contact the organisation the
applications can be kept in the files for later need.
 Unsolicited application made by unemployed individuals has a short life.
 Applications from individuals who are already employed can be referred to many months
later and can provide recruitment to applicants who are interested in considering other
employment opportunities.
c) Some of the other sources of recruitment efforts
 Temporary help services
 Employee leasing
 Independent contractor
 Outsourcing
i) Temporary help services
 These temporary help services can be a source of employees when individuals are needed on
a temporary basis.
 These employees are particularly valuable in meeting short-term fluctuations in HRM needs.
 In addition to specific temporary help services, another quality source of temporary
workers is older workers, those who have already retained or have been displaced by
right sizing in many companies.
 When there is a need for temporary help somewhere in the organisation these help
services provide the needed talent pool.
ii) Employee leasing
 Leased employees typically remain with an organisation for longer periods of time.
 When an organisation has a need for specific employee skills, it contracts with the
leasing firm to provide a certain number of trained employees.
 The acquiring organisation pays a flat fee for the employees.
 The leased employees are employees of the leased firm, hence the company is not
responsible for benefits
 The employees are returned after the project is over; this eliminates the cost associated
with layoffs/discharge.
18
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Even if one employee doesn’t work out, the company can get a new employee or make
arrangements to have its fee returned
iii) Independent contractors
 Independent contractors are none other than the consultants.
 Companies hire independent contractors to do very specific job within or outside the
company premises.
 An independent contract arrangement benefits both the organisation and the individual.
 The company saves cost associated with full time/part-time personnel like social
security taxes etc.
iv) Outsourcing
 Any activity in which the firm lacks internal expertise can be outsourced
 When the company does not have the time to deal with the situation.

3. Explain in detail the selection process.


Selecting a suitable candidate can be the biggest challenge for any organization. The
success of an organization largely depends on its staff. Selection of the right candidate builds the
foundation of any organization's success and helps in reducing turnovers. Though there is no fool
proof selection procedure that will ensure low turnover and high profits, the following steps
generally make up the selection process:
a) Initial Screening
This is generally the starting point of any employee selection process. Initial Screening
eliminates unqualified applicants and helps save time. Applications received from various
sources are scrutinized and irrelevant ones are discarded.
b) Preliminary Interview
It is used to eliminate those candidates who do not meet the minimum eligibility criteria
laid down by the organization. The skills, academic and family background, competencies and
interests of the candidate are examined during preliminary interview. Preliminary interviews are
less formalized and planned than the final interviews. The candidates are given a brief up about

19
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

the company and the job profile; and it is also examined how much the candidate knows about
the company. Preliminary interviews are also called screening interviews.

c) Filling Application Form


An candidate who passes the preliminary interview and is found to be eligible for the job
is asked to fill in a formal application form. Such a form is designed in a way that it records the
personal as well professional details of the candidates such as age, qualifications, reason for
leaving previous job, experience, etc.
d) Personal Interview
Most employers believe that the personal interview is very important. It helps them in
obtaining more information about the prospective employee. It also helps them in interacting
with the candidate and judging his communication abilities, his ease of handling pressure etc. In
some Companies, the selection process comprises only of the Interview.
e) References check
Most application forms include a section that requires prospective candidates to put down
names of a few references. References can be classified into - former employer, former
customers, business references, reputable persons. Such references are contacted to get a
feedback on the person in question including his behaviour, skills, conduct etc.
20
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

f) Background Verification
A background check is a review of a person's commercial, criminal and (occasionally)
financial records. Employers often perform background checks on employers or candidates for
employment to confirm information given in a job application, verify a person's identity, or
ensure that the individual does not have a history of criminal activity, etc., that could be an issue
upon employment.
g) Final Interview
Final interview is a process in which a potential employee is evaluated by an employer
for prospective employment in their organization. During this process, the employer hopes to
determine whether or not the applicant is suitable for the job. Different types of tests are
conducted to evaluate the capabilities of an applicant, his behaviour, special qualities etc.
Separate tests are conducted for various types of jobs.
h) Physical Examination
If all goes well, then at this stage, a physical examination is conducted to make sure that
the candidate has sound health and does not suffer from any serious ailment.
i) Job Offer
A candidate who clears all the steps is finally considered right for a particular job and is
presented with the job offer. An applicant can be dropped at any given stage if considered unfit
for the job.

4. Explain orientation and socialization in detail.


Orientation refers to activities involved in introducing a new employee to the
organization and his/her work unit. It expands the information received during the recruitment
and selection stages, and helps to reduce the initial anxiety a new employee has when entering a
new job.
Orientation can be done by any of the following people:
• Employee supervisor
• People in HRM

21
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

In most organization HRM takes charge of explaining such matters as overall


organisation policies. In dynamic organisations, orientation is imperative that the new employees
understand what the organisation is about.

Organisation culture in relation to orientation


Every organisation has its’ unique culture. Culture includes the following
 Long standing
 Unwritten rules and regulations
 Communication among members
 Shared standards of relevance about the critical aspects of work that is to be done.
 How members should relate to peers, employees, bosses and outsiders.

CEO’S role in organisation with regard to orientation


The senior managers become highly visible in the organisation meeting and greeting
employees and listening to employees concern. At the same time they are given the opportunity
to talk about the company i.e., where it is going and how it is going to get there. In management
terminology it is called “visioning”.
 The CEO’s first responsibility is to welcome new employees aboard and to talk to them
about the job choice that they have made.
 The CEO is in a position to turn on these new employees by talking about what it is like
to work for the organisation.
 He also discusses what really matters in a company.
 The presence of CEO helps in sending truthful message that cares for its employees.
 He helps the new employees feel better, more comfortable and also removes the fear they
have.

Role of human resource manager with regard to orientation


 The role of HR Manager is to ensure that the appropriate components are in place.
 Based on the recruitment that takes place, there should be a systematic schedule of when
the new employee should join a company.
22
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 It is the duty of the HRM to instruct the new employees when to report for work, before
their formal arrival.
 The HRM must be prepared to handle some of the most routine needs of the individuals
(e.g., long list of questions about benefits)

SOCIALIZATION
Socialization refers to the process of adaptation. This aims at helping new managers adapt to
their new organization and work responsibilities.
Purpose
The main purpose is to assist managers to fully understand what working is about in an
organization. It helps them to understand and accept the behaviors that organization views as
desirable.
Assumptions
 Strongly influences employee performance and organisational stability
 Organisational stability is increased through socialization
 New members suffer from anxiety
 Socialization does not occur in vacuum
 Individuals adjustment to new situation is remarkably similar
Stages of Socialization
The three stages of Socialization
 Pre-arrival
 Encounter
 Metamorphosis

i) Pre-arrival stage
 This stage explicitly recognizes each individual’s set of organisational values, attitudes
and expectations.
 In this stage success depends on the degree to which aspiring members have correctly
anticipated the expectations and desires of those already working in different departments
of the organisation.
23
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

ii) Encounter
 Individuals confront the possible dichotomy between their expectations about jobs and
that of their colleague, their seniors and the organisation in general.
 When expectations do not go hand in hand with reality the new manager must undergo
socialization that will detach them from their previous assumption and replace these with
the organisations standard.
 Socialization cannot solve all the expectation differences. If there were proper selection,
including the realistic job preview, it would significantly reduce this problem.
iii) Metamorphosis
 In this stage the new manager must work out any problem discovered during the
encounter stage.
 Here the new manager has become comfortable with the organisation and their work
team.
 As a result they feel confident that they have the competence to complete their job
successfully.
 A successful metamorphosis will have a positive effect on the new managers productivity,
commitment and turnover in the organisation.

5. Explain managerial skill development in detail.


Explain the process of developing and promoting managerial skill.(April/May 2015)

Executive Development
Executive development is a systematic process of growth and development by which the
managers develop their abilities to manage. It is concerned with improving the performance of
the manager by giving them opportunities to grow.
Objectives of Executive Development Programs
 To over haul the management machinery.
 To improve the performance of the managers
 To identify the person with the required potential and prepare them for senior positions.
 To increase morale of the members of the management group.
24
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 To increase versatility of the management group.


 To keep the executives abreast with the changes and developments in their respective
fields.
Importance of Training Programs
 Training is a learning experience in that it seeks a relatively permanent change in an
individual that will improve the ability to perform on the job.
 Training involves changes in skills, knowledge, attitude and behavior.
 Training implies a change in what employees know, how they work, their attitude
towards their work, their interaction with their coworkers or superiors.
IMPORTANT METHODS OF EXECUTIVE DEVELOPMENT

On-the-job Off-the-job
training training
Coaching Case study
Conference
Job rotation Role playing

Under study In basket method


Business game
Multiple management Sensitivity training

On the job training


Under this method, the manager is placed on a regular job and the necessary skill is
taught to perform the job efficiently. On the job training has the advantage of giving firsthand
knowledge and experience under the actual working condition.

Important methods of executive development


i) Coaching
In coaching the trainee is placed under a particular supervisor who acts as an instructor and
teaches job knowledge and skills to the trainee. He tells him what he wants him to do, how it can
be done and followed up while it is being done and corrects errors.
25
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

ii) Job Rotation


The transferring of executives from job to job and from department to department in a
systematic manner is called job rotation. He has to assume full responsibility and perform all
kinds of duties. The idea behind this is to give him the required diversified skills and a broader
outlook, which is important at the senior manager level.
iii) Under Study
An understudy is a person who is training to assume at a future time, the full responsibility of
the position held by his superiors. This method supplies the organisation a person with as much
competence as the superior to fill his post, which may fall vacant because of promotion,
retirement or transfer.
iv) Multiple Management
Multiple management is a system in which permanent advisory committee of managers study
problems of the company and makes recommendations to the higher management. It is also
called junior board of executive system. The committee discusses the actual problems and
different alternative solutions are suggested.

Off the Job Training


i) The Case Study
Cases are presented on the basis of actual business situations that happen in various
organisations. These trainees are given case for discussion. Then they are asked to identify the
apparent and hidden problems for which they have to suggest solutions. This whole exercise
improves the participant’s decision-making skill by sharpening their analytical and judging
skills.
ii) Conferences
The conference method is another commonly used method for executive development. Topics
such as human relations, safety education, customer relations, sales training and many more are
often discussed, debated and spoken about at the conference. A conference may be divided into
small groups for focused discussions. Participants are expected to air their opinions and thoughts
freely. It aims to develop the managers in the areas of intellectual ability, practical judgment and
social awareness.
26
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

iii) Role Playing


A problem situation is simulated by asking the participant to assume the role of a person in
managerial position in the organisation. For example, a trainee might be asked to play the role of
a supervisor who is required to discipline an employee smoking in the plant in violation of the
rules. Another participant would assume the role of the employee. The individual playing the
supervisory role would then proceed to take whatever action he deems appropriate. This action
then provides the basis for discussion and comments by the groups. The whole play may be tape-
recorded and the trainee may thus be given the opportunity to examine his or her performance.
iv) In basket method
The trainees are first given background information about a simulated company, its products,
key personnel, various memorandum, requests and all data pertaining to the firm. The trainee has
to understand all this, delegate tasks and prepare memos within a specific amount of time.
v) Business games
Under this method, the trainees are divided into groups or different teams. Each team has to
discuss and arrive at decisions concerning such subjects as production, pricing, research
expenditure, advertising etc, assuming it to be the management of a simulated firm. The other
teams assume themselves as competitors and react to the decisions. This immediate feedback
helps to know the relative performance of each team.
vi) Sensitivity training
The main objective of sensitivity training is the awareness and sensitivity of behavioral
patterns of one self and others. The role-play by the trainee here is not a structured one as in role-
play. It is a laboratory situation where one gets a chance to know more about himself and the
impact of his behavior on others.
vii) Managerial grid
It is a six-phase program lasting from three to five years. It starts with upgrading managerial
skills, continues to group improvement, improve their inter group relations, goes into corporate
planning, develops implementation method and ends with an evaluation phase.
Systems Approach To Training
 Determining training needs.
 Choosing right approach.
27
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Defining objectives of training efforts.


 Developing training program to meet the objectives.
 Identifying individuals
 Conducting training
 Evaluating training out come with objectives.
Methods of Training Evaluation
 Post-training performance evaluation
 Pre- training performance evaluation
 Attitudinal change.
 Test scores.
 Improvement in production or methods of problem solving.

6. Explain the various theories of motivation in detail.


A manager gets result through other people. His effectiveness depends, to a large extent,
on the willingness of his employees to do the assigned tasks with interest and enthusiasm.
According to Scott, “Motivation is a process of stimulating people to action to accomplish
desired goals”. Motivation has three distinct features
 It results from a felt need
 It is goal directed
 It persist until the satisfaction of a need state occurs.
Meaning of motivation
Motivation is the set of processes that moves a person towards a goal. Thus, motivated
behaviors are voluntary choices controlled by a individual employee. The supervisor (motivator)
wants to influence the factors that motivate employees to higher levels of productivity
 Any influence that triggers, directs or maintains behavior
 The Process that account for an individual’s intensity, direction and persistence of efforts
towards attaining a goal.
Process and Content theories- Relationship with Managerial Motivation
Approaches understanding motivation differ because many individual theorist have
developed their own views and theories of motivation. They approach motivation from different
28
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

perspective, with different ideas in mind and from different background. Motivation theories are
classified into two, content theories and process theories. Process theories, as opposed to the
content theories suggest that a variety of factors prove to be motivating, depending on the needs
of the individual, the situation the individual is in, and the rewards he expects for the work done.

Theories of Motivation
Content Theories of Motivation
This theory explains why people have different needs at different times
The Assumptions are:
 All Employees are alike
 All situations are alike
 There is one best way to motivate all employees

Content theories of motivation


a) Maslow’s Hierarchy of Need Theory

29
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Each individual has needs, or feelings of deficiency that drive their behavior
 Once a need is satisfied, then it is no longer motivating
 Needs are in a hierarchy that an individual moves up as they satisfy levels of needs
Levels of Needs
 Physiological/Survival needs - Food, Clothing, Shelter, Air
 Security - Feel safe, absence of pain, threat, or illness
 Affiliation - Friendship, company, love, belonging
 Esteem Needs - Self-respect, achievement, recognition, prestige
 Self-Actualization - Personal growth, self-fulfillment, realization of full potential
Managerial perspective Self-esteem needs
 Internal esteem factors such as self-respect, autonomy, achievement will act as an
internal motivator for managers.
 Managers are also in need of external esteem factors such as status, recognition and
attention in order to get refreshed and perform their work efficiently.
Self Actualization Need
 The Drive to become what one is capable of becoming
 This includes Ones growth, potential and self-fulfillment
The above-mentioned two factors are important for a manager who is an achievement- oriented
person.
b) Alderfer’s ERG Theory
 Consolidates Maslow’s hierarchy of needs into 3 categories
 Existence-physiological and security
 Relatedness-affiliation
 Growth-esteem and self-actualization
 Differs from Maslow’s Hierarchy
 When unable to satisfy upper level needs, the individual will revert to satisfying lower
level needs
Managerial perspective
 Alderfer’s growth need is closely related with Managerial Motivation.

30
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 An intrinsic desire for personal development


 This include intrinsic component from Maslow’s esteem and self actualization
Component
c) McClelland’s needs
 The Theory envisages that each person has a need for all three (as well as others), but
that people differ in the degree to which various needs motivate their behavior
 Needs are acquired through interaction with environment
Types of Needs
 NAch (Need for Achievement)-This is a motive to meet some standard of excellence or to
compete with others.
 NAff (Need for Affiliation)-This describes a motive to develop and maintain close and
meaningful relationships with others.
 NPow (Need for Power)-This is based upon desire to influence and control others and the
environment
Managerial perspective
 Task managers show high on achievement and power need and low on affiliation
 People centered managers show high on affiliation need.
d) Herzberg’s Two-Factor Theory
 Some variables prevent job dissatisfaction and some variables produce motivation
 Hygiene factors are basic needs that will prevent dissatisfaction e.g. ventilation, normal
temperature, pay, parking etc.
 Motivators, when present cause high levels of motivation. Work gets more interesting,
advancement and growth becomes possible.
Managerial perspective
The manager in an organisation can be motivated by
 Challenging assignments
 Recognition
 Responsibility
 Career growth

31
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

Process Theories
 Reinforcement Theory
 Expectancy Theory
 Equity Theory
 Goal Setting Theory
i) Reinforcement Theory
 Behaviors are functions of consequences that they produce
 If a behavior is followed by a pleasant experience it will be repeated
 In order to change behaviors the consequences must be changed
Types of Reinforcement
 Positive Reinforcement or rewards
 Negative Reinforcement or punishments

Stimulus (Situation)

Response (behavior)

Consequences (rewards
& punishments)

Future behavior

Reinforcement Theory Types of Rewards


 Extrinsic or external rewards such as money, fringe benefits, job security
 Intrinsic or internal satisfaction outcomes derived from doing work- Satisfaction Relation
with Managers
Managers are highly attracted by the intrinsic rewards and internal satisfaction that comes out of
his work rather than monetary benefits

32
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

ii) Vroom’s Expectancy Theory


 Combines goal setting and reinforcement theories
 Three questions drive motivation
– Will effort lead to performance?
– Will performance lead to reward?
– Will the reward be of value to the person?
– This theory is more applicable to both employees and managers
Terms
 Expectancy-increases the belief that employees effort will lead to successful
performance
 Instrumentality-increases the belief that performance leads to valued rewards
 Valence-increases the expected value of outcomes resulting from desired performance

Expectancy Theory of Motivation Expectancy Theory in Practice

 Increasing the E-to-P expectancy

33
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Training, selection, resources, clarify roles, provide coaching and feedback


 Increasing the P-to-O expectancy
 Measure performance accurately, explains how rewards are based on past and present
performance
 Increasing outcome valences
 Use valued rewards; individualize rewards preferred by the employees.
iii) Equity Theory
Stacy Adams has proposed this theory. According to this theory individuals try to find a
balance between their inputs, viz amount of effort, time and energy expended to do the work and
the corresponding output received in return for the work done, in the form of pay, incentives and
other benefits. They compare this input-output ratio, with that of others, in the same position,
working both within the organisation and outside. If the person’s perceived ratio is not equal to
the others he or she will strive to restore the ratio to equity.
Elements of Equity Theory
 Outcome/input ratio
o Inputs — what employee contributes (e.g. skill, time, effort)
o Outcomes — what employees receive (e.g. pay, incentives)
 Equity evaluation
o Compare outcome/input ratio with others who are in the same line.
iv) Goal Setting Theory
 Assignment of specific, results oriented, moderately difficult goals, combined with
adequate feedback will provide motivation to work
 Employee participation in goal setting
 Receive rewards on the accomplishment of goals
 Provide competencies necessary for achievement of these goals
Relation with Managerial motivation
 It is usual for employees to take lighter task first
 Managers who are highly achievement - oriented will accept to take up heavier tasks

34
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

7. Explain performance appraisal in detail.


Is performance appraisal really necessary? Can’t the benefits the systems provides to
organization and the people in them he obtained in any other way?(Apr/May 2017)
The process of performance appraisals helps the manager and management to know the
actual performance level of manager when compared to standard level. Performance appraisal is
the basis of HRD based on which promotions, demotions, salary fixing etc. can be decided. It is
the basis for the individual development.
Strategy Performance appraisal Appraiser
Stability, sustainable
Traditional Superior
growth
Expansion, diversification Modern 360 appraisal
Retrenchment Traditional superior

Strategic Management and Performance Appraisal


It is a method of evaluating the behavior of the manager in work spot, both qualitative and
quantitative aspect. It is the degree of accomplishment of the task that makes up an individual
job. It is different from effort. Performance is measured in degree of the result achieved.

Characteristic features of performance appraisal


 Performance appraisal is the systematic description of the manager job.
 Basic purpose is to find out how well the manager is performing the job.
 Appraisals are arranged periodically.
 Performance appraisal is a continuous process.
 Performance appraisal is followed by corrective measures

Need for Performance Appraisal


 Provides information about the performance rank.
 Helps in taking decisions regarding salary fixation promotions, transfers and demotions.
 Provide feedback information about achievements and behaviors of subordinates.
 Prevent grievances and maintains discipline
35
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Creates and maintain satisfactory level of performance.


 Contributes to manager’s growth and development through training programs.
 Helps the superior to have proper understanding about their subordinates.
 Helps to adopt job changes with the help of continuous ranking.
 Facilitates fair and equitable compensation, based on performance.
The Appraisal Model
The appraisal model consists of three kinds of appraisals:
 Comprehensive review
 Progress or periodic review
 Continuous monitoring
Formal Comprehensive Review
 It is conducted at least once a year.
 Performance is reviewed for the period.
Progress or Periodic review
 Identifies the problems or barriers that hinder effective performance at regular intervals.
 Open communication between superior and subordinate
 Priorities can be rearranged and objectives can be reorganized
Continuous monitoring
If the system deviates from the plan one does not have to wait for the next periodic
review to correct it. The superior and the subordinate discuss the situation such that corrective
action can be taken immediately taken up in order to prevent further deviation.

Performance Appraisal Process


1. Establish / setting Performance Standards:
The appraisal process begins with the establishment of performance standards. The
managers must determine what outputs, accomplishments and skills will be evaluated. These
standards should have evolved out of job analysis and job descriptions.

36
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

2. Communicate Performance Expectations to Employees:


Once the performance standards are established, this need to be communicated to the
respective employees so that they come to know what is expected of them. Past experience
indicates that not communicating standards to the employees compounds the appraisal problem.

Performance Appraisal Process


3. Measure Actual Performance:
This is the third step involved in the appraisal process. In this stage, the actual
performance of the employee is measured on the basis of information available from various
sources such as personal observation, statistical reports, oral reports, and written reports.

37
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

4. Compare Actual Performance with Standards:


In this stage, the actual performance is compared with the predetermined standards. Such
a comparison may reveal the deviation between standard performance and actual performance
and will enable the evaluator to proceed to the fifth step in the process, i.e., the discussion of the
appraisal with the concerned employees.

5. Discuss the Appraisal with the Employee:


The fifth step in the appraisal process is to communicate to and discuss with the
employees the results of the appraisal. This is, in fact, one of the most challenging tasks the
manager’s face to present an accurate appraisal to the employees and then make them accept the
appraisal in a constructive manner.

6. Initiate Corrective Action:


The final step in the appraisal process is the initiation of corrective action when it is
necessary. The areas needing improvement are identified and then, the measures to correct or
improve the performance are identified and initiated.

8. Explain the various methods of performance appraisal in detail.(Nov/Dec 2016)


Performance appraisal methods
With the evolution and development of the appraisal system a number of methods or
techniques of performance appraisal have been developed. They can be classified as
 Traditional method
 Modern method
i) Traditional method
a. Graphic rating scales
Individual performance is compared with the absolute standard. The judgment about the
performance is recorded on the scale. It is an oldest and frequently used method. The appraisers
are supplied with printed forms one for each. These forms contain a number of objectives,
behavior taint and characters. These forms contain rating scales. Points are given to each item

38
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

and they are added up to find the overall performance. Managers are ranked based on the total
points they obtain and these are plotted in the graph.
b. Ranking method
The managers are ranked from best to worst based on some characteristics. The rater first
finds the manager with highest performance and the manager with lowest performance. Rates the
former as the best and the later as poor. Thus all the employees in a group are given ranks.
Ranking can be easy and inexpensive, but its reliability and validity may be open to doubt. It is
possible that low ranker in one group may turn to be superstar in another group. The limitation of
the ranking method is that the size of the difference between individual being ranked is not well
defined.
c. Paired Comparison Method
This method is simple. Under this method the appraiser ranks the manager based on his
performance in comparing with all the others in the group one at a time. It will be effective if the
numbers of managers are less. The total number of comparison is given by the formula N (N-
1)/2. The limitation is that managers are simply compared with each other on the total
performance rather than specific job criteria.
d. Forced Distribution Method
It develops to prevent the rater from rating too high or too low. Under this method the
rater after assigning the points to the performance of each manager has to distribute the rating in
a pattern to confirm frequency distribution. It eliminates central tendency and leniency biases.
This method is based on the rather questionable assumption that all group of manager will have
the same distribution of excellent, average and poor.
e. Check List Method
The checklist is a simple rating technique in which the supervisor is given a list of
statements and is asked to check if the statements represent the characteristics and performance
of each manager. There are three types of checklist
• Simple checklist
It consists of large number of statements and words. The raters are asked to mark positive
or negative check. The negative checks are neglected and the positive checks are counted. The
limitation is that the raters may interpret the statement and the word differently.
39
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

• Forced checklist
In this there are large number of statements in groups. Each group consists of 4
statements.2 are favorable and 2 are unfavorable, sometimes 5 statements are given one is
neutral. The rater has to select one from the favorable and one from unfavorable. The weightage
for the statement is not shown to the rater. There is a mixture of the positive and negative
statements. Based upon the score they are ranked.
• Weighted checklist
The weighted checklist method involves weighting different items in the checklist,
having a series of statements about an individual, to indicate that some are more important than
others. The rater is expected to look into the questions relating to the employee’s behavior and
tick those traits that closely describe the employee behavior. Often the weights are not given to
the supervisors who complete the appraisal process, but are computed and tabulated by someone
else, such as a member of the personnel unit. In this method, the performance ratings of the
employee are multiplied by the weights of weighted performance score of the employee.
Weighted performance score is compared with the overall assessment standards in order to find
out the overall performance of the employee.
f. Critical Incident Method
The critical incidents method of employee assessment has generated a lot of interest these
days. The approach focuses on certain critical behaviors of an employee that make all the
difference between effective and non-effective performance of a job. The incidents are recorded
as and when they occur.

ii) Modern Methods


a. BARS (Behaviorally Anchored Rating Scales)
The bars method combines elements of the traditional rating scales and critical incident
method effective and ineffective behaviors are described more objectively. The method employs
individuals who are familiar with a particular job to identify its major components. They then
rank and validate specific behavior for each of the components.
The various steps involved in constructing BARS
 Collect critical incidents
40
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Identify performance dimensions


 Reclassification of incidents.
 Assigning scale values to the incidents
 Producing the final instrument.

b. Assessment center
This method of appraising was first applied in German army in 1930.this is not a
technique of performance by itself. It uses procedures that incorporate group and individual
exercises. These exercise are designed to simulate the type of work, which the candidate will be
expected to do. They participate in in-basket exercises, work groups, computer simulations, role-
playing and other similar activities. Their performance in the situational exercises is observed
and evaluated by a team of trained assessors.
c. Psychological Appraisal
It is conducted to assess the employee’s behavioral and psychological aspect. It consists
of in-depth interviews, psychological tests and discussion reviews. It is useful for decision
making with regard to placement, career planning and training of managers.
d. 360-Degree Feedback
Where multiple raters are involved in evaluating performance, the technique is called
360-degree appraisal. The 360-degree technique is understood as systematic collection of
performance data on an individual or group, derived from a number of stakeholders. The
stakeholders are the immediate supervisors, team members, customers, peers, and self.

Problems of Performance Appraisal:


A completely error-free performance appraisal is only an ideal we can aim for. In reality
most appraisals fall short of this ideal. This is often due to one or more actions that can
significantly impede objective evaluation. It is briefly described below.
Rating biases
It is the tendency of the rater to depend on the rating of one trait or behavioral
consideration. It takes place when one aspect of an individual’s performance influences the

41
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

evaluation of the entire performance of the individual. In an organisation, a halo error occurs
when an employee who works late constantly might be rated high on productivity and quality of
output as well as on motivation.
The Error of Central tendency
Some raters play a safe role by rating all in the middle point of the rating scale and they
avoid rating the people at both extremes of the scale.
The leniency and strictness
The leniency bias crops when some rater have tendency to be liberal in their rating by
assigning higher rates consistently. Equally damaging is assigning low rate. It doesn’t serve any
purpose.
Personal prejudices
If the rater dislikes any employee or any group he may rate them low. Such decision
affects the career of the manager.
Recent effect
The raters generally remember the recent action of the manager at the time of rating them.
These recent actions may either be favorable or unfavorable. Such type of subjective
performance appraisal has certain drawbacks like
 Less reliability and validity of the performance appraisal techniques.
 Negative rating affect interpersonal relation and industrial relation system.
 Absences of inter rater reliability.
 Gives rise to unpleasant situation at the time of feedback interview.

9. Explain briefly about balanced score card.


Balanced Score Card has been proposed and popularized by Robert. S. Kaplan and
David. P. Norton. It is a performance tool which “Provides executives with a comprehensive
framework that translates a company’s strategic objectives into a coherent set of performance
measures”.
The scorecard consists of 4 different perspectives such as:
 Financial
 Customer
42
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Internal business
 Innovation and Learning
(i) Financial Perspective
 Return-on-capital employed
 Cash flow
 Project profitability
 Profit forecast reliability
 Sales backlog

(ii) Customer perspective


 Pricing index
 Customer ranking survey
 Customer satisfaction index
 Market share
(iii) Internal Business Perspective
 Rework
 Safety incident index
 Project performance index
 Project closeout cycle

43
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

(iv) Innovation and Learning Perspective


 % revenue from services
 Rate of improvement index
 Staff Attitude survey
 Employee suggestions
 Revenue per employee.
10. Explain in detail about 360-Degree feedback.
Feedback is a planned, systematic intervention in the life of an individual who is capable
of choosing the goal and the direction of his own development. Thus the purpose of counseling is
to help the employee become aware of his own performance, his strengths and weaknesses,
opportunities available for performance development and the threats in the form of technological
change etc.
360-Degree Feedback
360-degree appraisal is basically a Multi-rater appraisal and feedback system. In this
system, the employee is assessed periodically (once in a year and sometimes even half yearly) by
a number of assessors including his supervisor, immediate subordinates, colleagues, internal
customers and external customers.
Appraisers
The appraiser may be any person who has thorough knowledge about the job contents to
be appraised. The appraiser should be capable of determining what is more important and what is
relatively less important. He should prepare reports and make judgments without bias. Typical
appraisers are supervisors, peers, subordinates, employees themselves, users of service and
consultants. Performance appraisal by all these appraisers is called “360 degree performance
Appraisal”.
• Supervisors: Supervisors include superiors of the employee, other superiors having
knowledge about the work of the employee and department head or manager. General practice is
that immediate superiors appraise the performance, which in turn is reviewed by the
departmental head or manager.

44
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

• Peers: Peer appraisal may be reliable if the work group is stable over a reasonably long period
of time and performs tasks that require interaction. However, little research has been conducted
to determine how peers establish standards for evaluating others or the overall effect of peer
appraisal on the group’s attitude.
• Subordinates: the concept of having superiors rated by subordinates is beingfollowed in most
organisations today, especially in developed countries. Such a novel method can be useful in
other organisational settings too provided the relationships between superiors and subordinates
are cordial.
• Self Appraisal: if individuals understand the objectives they are expected to achieve and the
standards by which they are to be evaluated, they are to a great extent in the best position to
appraise their own performance. Also, since employee development means self-development,
employees who appraise their own performance may become highly motivated. Wipro and many
other industries have implemented self-appraisal.

Peers

Self Superiors

Feedback

Subordinates Customers

Suppliers

360-Degree Feedback
 The assessment is made in a questionnaire specially designed to measure behaviors
considered as critical for performance
 Others do the Appraisal anonymously and the assessment is collected by an external agent
(consultant) or specially designated internal agent (for example the HR Department).

45
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 The assessment is consolidated. Feedback profiles are prepared and given to the
employee.
 This type of multi-perspective evaluation is more complete and accurate than the
traditional top-down evaluation.
Objectives Of 360-Degree Feedback
 Insight into the strong and weak areas of the candidate in terms of the effective
performance of roles, activities, styles, traits, qualities, competencies knowledge,
attitudes and skills, impact on others and the like.
 Identification of developmental needs and preparing developmental plans more objectively
in relation to current or future roles and performance improvements for an individual or a
group of individuals.
 Data generation to serve as a more objective basis for rewards and other personnel
decisions.
 Alignment of individual and group goals with organisational vision, values and goals.
 Reinforcement of other change management efforts and organisation effectiveness
directed interventions.
Application of 360-degree feedback
360-degree feedback can be used for
 Self development and individual counseling
 Part of organized training and development
 Team building
 Performance management
 Fixing Remuneration
Advantages of 360-Degree Feedback
 It is more objective than a one-person assessment of traits and qualities.
 It adds objectivity and supplements the traditional appraisal system.
 It is more participative and enhances the quality of HR decisions.
 Provides quality and large quantity of detailed information about a person.
 It has morale boosting effect.
Phases Of Feedback Exercise
46
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Orientation
 Questionnaire distribution
 Monitoring and follow up
 Data feeding and reports
 Counseling

11. Explain the concept of career development in detail.


What is career management? Discuss the benefits, significance and steps involved in career
management.(Nov/Dec 2014).
The Concept of Career
Douglas T. Hall defines career as a sequence of work related activities that provides
continuity, order and meaning in a person’s life. There is also a subjective element in the concept
of career. A career consists of the changes in values, attitudes and motivation that occur as a
person progresses in his professional life.
A career can mean
 Advancement
 Profession
 Stability over time
Individual Vs Organizational Perspective
From an organisational or HRM point of view career development involves tracking
career paths and developing career ladders. HRM seeks information to direct and to monitor the
progress of special groups of employees, and to ensure that capable professional, managerial and
technical talent will be available to meet the organisation’s needs. Career development from the
organisations perspective is also called organisational career planning. In contrast individual
career development or career planning focuses on assisting individuals to identify their major
goals and to determine what they need to do to achieve these goals.
Career Development Vs Employee Development

47
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

Career development looks at the long-term career effectiveness and success of


organisational personnel. A successful career program in attempting to match individual’s
abilities and aspirations with the needs of the organisation should develop managers with an
objective to match the long term needs of the organisation and address the dramatic changes that
will take place over time in the business environment.
Career Development: Value for The Organization
a. Ensures needed talent will be available
Changing staff requirements over the intermediate and long term should be identified
when the company sets long term goals and objectives. Working with individual employees to
help them align their needs and aspirations with those of the organisation will increase the
probability that the right people will be available to meet the organisation’s changing staff
requirements.
b. Improves the organisation’s ability to attract and retain talented managers
Importantly career planning appears to be a natural response to the rising concern by
employees for the quality of work life and personal life planning. Social values have changed
that more members of the work force no longer look at their work in isolation. Their work must
be compatible with personal, family interests and commitments. Career development should
result in a better individual-organisational match for employees and result in fewer turnovers.
c. Ensures that minorities and women get opportunities for growth and development
Equal employee legislation and affirmative programs have demanded that minority
groups and women receive opportunities for growth and development that will prepare them for
greater responsibilities within the organisation.
d. Reduces employee frustration
When organisations cut costs by downsizing, career paths, career tracks and career
ladders often collapse. Career counseling can result in more realistic rather than raised employee
expectations.
e. Enhances cultural diversity
Attracting and retaining the people from different cultures, enhances cultural diversity.
f. Promotes Organisational Goodwill

48
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

When employees think their organisations are concerned about their long-term well
being, they respond in projecting positive images of the organisation outside wherever they go
and hence people may view it in a greater perspective.
Career Development: Value for the Individual
1. The process of career planning helps the individual to have the knowledge of various career
opportunities, his priorities.
2. This Knowledge helps him select the career, which is suitable to his personality,
lifestyles, preferences, family environment and which has scope for self-development etc.
3. It improves the efficiency and performance of the individuals.
4. Increases job satisfaction and enhanced employee commitment.
5. It satisfies employees esteem needs.
12. What are the phases in career management? Explain with practical example?
(April/May 2015),( Nov/Dec 2016)
Career stages
A career, as mentioned before, includes many positions, stages and transitions just as a
person’s life does. It can be easily understood if we think of a career consisting of several stages.
Most of us have gone or would go through the five stages.

Exploratory Establishme Mid Career Late Career Decline


stage nt stage Stage Stage Stage

Stages in Career Development

1. Exploration: The exploration stage is the pre-employment stage, wherein the individuals are
in their mid-twenties and enter from their college life to the work environment. The individuals
narrow down their work preferences on the basis of the directions showed by their parents,
friends, family, teachers.

At this stage, several expectations about the work are created that may be the fantasies, or
unrealistic beliefs about the work, very much before entering into the firm.
49
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

2. Establishment: At this stage, an individual actually experiences the work culture in his first
job. Here, all the expectations and fantasies come to an end, and one has to face the reality of
life. This stage covers about 10 years from the 25 years of age.

It is also called as a learning stage; wherein the fresher learns under the guidance of a
mentor. At this stage, the fresher commits many mistakes and try to learn from these, thereby
gaining a position in the society and working for his career advancement.

3. Mid-Career: This stage covers the age period of 35 to 45 years. At this stage, the
individual is no longer considered to be a fresher and his mistakes are taken seriously by the
senior management.

Here, the employee must evaluate his current career position, i.e. whether he is
advancing, or has stabilized or has started to decline and look for the future career prospects. At
this stage, an individual has to maintain a balance between his career and his personal life i.e.
spouse and children.

4. Late-Career: At this stage, an individual reaches to a particular position in the


organization hierarchy, on the basis of his career graph which is characterized by growth or
stagnation.

If an individual grows even after the mid-career (i.e. 20 years after mid-forties), then he is
considered to be having the pleasant experience with the work. Here, an individual becomes the
mentor and guide others through his experiences.

5. Decline: This is the last stage of career development. At this stage, an individual has to
step out of his work or get a retirement from his official commitments. It is considered as one of
the difficult stages, as it is very hard for the employees to leave the firm who are doing excellent
even after their late career.

50
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

Thus, every individual passes through these five stages of career development as they
move along their life cycle.

12. Explain equity theory. How can it be used to motivate managers? (May/June 2012)

ADAMS' EQUITY THEORY:

Adams called personal efforts and rewards and other similar 'give and take' issues at work
respectively 'inputs' and 'outputs'.

Inputs are logically what we give or put into our work. Outputs are everything we take
out in return.

These terms help emphasise that what people put into their work includes many factors
besides working hours, and that what people receive from their work includes many things aside
from money.

Adams used the term 'referent' others to describe the reference points or people with
whom we compare our own situation, which is the pivotal part of the theory.

Adams Equity Theory goes beyond - and is quite different from merely assessing effort
and reward. Equity Theory adds a crucial additional perspective of comparison with 'referent'
others (people we consider in a similar situation).

Equity theory thus helps explain why pay and conditions alone do not determine
motivation.

In terms of how the theory applies to work and management, we each seek a fair balance
between what we put into our job and what we get out of it. But how do we decide what is a fair
balance?

The answer lies in Equity Theory. Importantly we arrive at our measure of fairness -
Equity - by comparing our balance of effort and reward, and other factors of give and take - the
51
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

ratio of input and output - with the balance or ratio enjoyed by other people, whom we deem to
be relevant reference points or examples ('referent' others).

Crucially this means that Equity does not depend on our input-to-output ratio alone - it
depends on our comparison between our ratio and the ratio of others.

We form perceptions of what constitutes a fair ratio (a balance or trade) of inputs and
outputs by comparing our own situation with other 'referents' (reference points or examples) in
the market place as we see it.

In practice this helps to explain why people are so strongly affected by the situations (and
views and gossip) of colleagues, friends, partners etc., in establishing their own personal sense of
fairness or equity in their work situations.

Adams' Equity Theory is therefore a far more complex and sophisticated motivational
model than merely assessing effort (inputs) and reward (outputs).

The actual sense of equity or fairness (or inequity or unfairness) within Equity Theory is
arrived at only after incorporating a comparison between our own input and output ratio with the
input and output ratios that we see or believe to be experienced or enjoyed by others in similar
situations.

Inputs Equity dependent on


comparing own ratio of Outputs
input/output with ratios of
'referent' others

52
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

Inputs are typically: effort, People need to feel that there Outputs are typically all financial
loyalty, hard work, is a fair balance between rewards - pay, salary, expenses,
commitment, skill, ability, inputs and outputs.Crucially perks, benefits, pension
adaptability, flexibility, fairness is measured by arrangements, bonus and
tolerance, determination, comparing one's own balance commission - plus intangibles -
heart andsoul, enthusiasm, or ratio between inputs and recognition, reputation, praise and
trust in our boss and outputs, with the ratio thanks, interest, responsibility,
superiors, support of enjoyed or endured by stimulus, travel, training,
colleagues and subordinates, relevant ('referent') others. development, sense of achievement
personal sacrifice, etc. and advancement, promotion, etc.

Understanding Equity Theory - and especially its pivotal comparative aspect - helps
managers and policy-makers to appreciate that while improving one person's terms and
conditions can resolve that individual's demands (for a while), if the change is perceived by other
people to upset the Equity of their own situations then the solution can easily generate far more
problems than it attempted to fix.

Equity Theory reminds us that people see themselves and crucially the way they are treated in
terms of their surrounding environment, team, system, etc - not in isolation - and so they must be
managed and treated accordingly.

13. Examine the pros and cons of various measures of performance appraisal.( Nov/Dec
2012)

Advantages of Performance Appraisal:

It is said that performance appraisal is an investment for the company which can be justified by
following advantages:

53
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

1. Promotion: Performance Appraisal helps the supervisors to chalk out the promotion
programmes for efficient employees. In this regards, inefficient workers can be dismissed
or demoted in case.
2. Compensation: Performance Appraisal helps in chalking out compensation packages for
employees. Merit rating is possible through performance appraisal. Performance
Appraisal tries to give worth to a performance. Compensation packages which includes
bonus, high salary rates, extra benefits, allowances and pre-requisites are dependent on
performance appraisal. The criteria should be merit rather than seniority.
3. Employees Development: The systematic procedure of performance appraisal helps the
supervisors to frame training policies and programmes. It helps to analyse strengths and
weaknesses of employees so that new jobs can be designed for efficient employees. It
also helps in framing future development programmes.
4. Selection Validation: Performance Appraisal helps the supervisors to understand the
validity and importance of the selection procedure. The supervisors come to know the
validity and thereby the strengths and weaknesses of selection procedure. Future changes
in selection methods can be made in this regard.
5. Communication: For an organization, effective communication between employees and
employers is very important. Through performance appraisal, communication can be
sought for in the following ways:
a. Through performance appraisal, the employers can understand and accept skills of
subordinates.
b. The subordinates can also understand and create a trust and confidence in
superiors.
c. It also helps in maintaining cordial and congenial labour management
relationship.
d. It develops the spirit of work and boosts the morale of employees.

All the above factors ensure effective communication.

54
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

6. Motivation: Performance appraisal serves as a motivation tool. Through evaluating


performance of employees, a person’s efficiency can be determined if the targets are
achieved. This very well motivates a person for better job and helps him to improve his
performance in the future.

Disadvantages of Performance Appraisal

 If not done right, they can create a negative experience.


 Performance appraisals are very time consuming and can be overwhelming to managers
with many employees.
 They are based on human assessment and are subject to rater errors and biases.
 Can be a waste of time if not done appropriately.
 They can create a very stressful environment for everyone involved.

14. What are the important and effective management criteria? Explain.

Management is the organisational process that includes strategic planning, setting;


objectives, managing resources, deploying the human and financial assets needed to achieve
objectives, and measuring results. Management also includes recording and storing facts and
information for later use or for others within the organization. Management functions are not
limited to managers and supervisors. Every member of the organisation has some management
and reporting functions as part of their job.

Successful Management

 Successful management is concerned with effectiveness and efficiency.


o Effectiveness is the relationship between the goals the manager sets and achieving
them.
o Efficiency is concerned with the relationship between goal achievment and
resources. If a business achieved its goals but used lots of resources in the
process, it isnt very efficient! On the other hand, if a firm can reduce the amount
of inputs and get the same output... thats efficient!
55
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

 Effective management invariably results in business success, while ineffective


management often results in business failure.

Effective Management is important because:

 Good managers are the key to a more competitive economy and higher performing
enterprises
 Job creation depends on better management skills
 Must improve to meet today’s world best practice standards and the challenges of the
Asia-Pacific century

Effective management is also important because managers:

 Provide vision
 Are the decision makers
 Co ordinate the activities within the business
 Are legally responsible for what the business does
 Are accountable to stakeholders
 Largely determine whether the business will be successful

Effective Management Rating Criteria


 Effective management is a combination of strategies geared to help improve performance
in crucial areas. Its purpose is to address current and future challenges, such as rising
costs, aging infrastructure, regulatory requirements, population changes, and a changing
workforce.

 Effective management also consists of integrating sustainable planning elements into a


project. By undertaking these initiatives, entities can expect reduced long-term
infrastructure and maintenance costs, increased operational efficiencies, and improved
long-term planning efforts.

The effective management rating criteria contain elements within three main categories:

56
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

• Asset management planning.


• Future asset management planning efforts.
• Sustainable planning elements.
Effective Management: Rating Criteria & Examples:
To receive effective management points, an entity’s project must contain some of the
following items.

Asset Management Planning:


All items must be included for Asset Management Planning points.

• Inventory of Assets includes an itemized list of equipment such as meters, storage tanks,
service lines, etc.

• Assessment of the Criticality and Condition of the Assets includes a review of the condition,
age, service history, and useful life of the assets listed in the inventory.

• Prioritization of Capital Projects gives higher priority for projects that

a) Have a shorter remaining useful life.


b) Provide safe water delivery.
c) Lack adequate back-up systems.
d) Consider other community projects that will affect an entity’s projects (for example, road
repairs that need to be coordinated with replacing water delivery lines).

• Budget identifies costs to fund top priorities for the next five years.

• Training identifies specific asset management training courses that are offered to an
entity’s governing body and employees.
Future Asset Management Planning Efforts:
• Development of an Asset Management Plan involves a commitment to provide an asset
management plan as a deliverable of the loan, if a plan does not exist during the project
solicitation phase.

Sustainability Planning:

57
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

• Water Conservation Goal addresses specific targets, goals, or measures in a water conservation
or drought contingency plan. Goals can include targets such as reducing water loss and water
consumption.

• Reclaimed Water (DWSRF only) includes plans to reuse water for projects such as public
irrigation and cooling towers.

• Energy Assessment, Audit, or Optimization Study must address specific goals from a system-
wide or plant-wide analysis of energy consumption, conservation, and efficiency. This analysis
must have been conducted within the past three years at the time of application.

• Implementation of Water Plans implements elements contained in a

o State or regional water plan.


o Integrated water resource management plan.
o Regional facility plan.
o Regionalization or consolidation plan.
o EDAP facility plan.
ANNA UNIVERSITY QUESTIONS
PART A

1. Write short notes on Career Management. (NOV/DEC 2010)


2. Write short notes on Recruitment. (NOV/DEC 2010)
3. List out the factors influencing recruitment. (NOV/DEC 2011)
4. Describe the methods for handling problematic employees. (NOV/DEC 2011)
5. Define recruitment. How is it different from selection? (MAY/JUNE 2011)
6. Bring out the factors which influence recruitment. (MAY/JUNE 2011)
7. What is motivation? (MAY/JUNE 2010)
8. How do you handle problem employees? (MAY/JUNE 2010)
9. Outline the appraisal process. (NOV/DEC 2009)
10. Why is career development of managers considered important by the organisation?
(NOV/DEC 2009)
11. Mention any four objectives of recruitment. (Nov/Dec 2013)
58
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

12. What is application blank?(Nov/Dec 2013)


13. What is meant by managerial skill development? .(Nov/Dec 2014)
14. Define balance scorecard. .(Nov/Dec 2014)
15. What are the required managerial skills? .(April/may 2015)
16. What do you mean by Balanced scorecard? (May/June 2013)
17. Brief balanced scorecard and its benefits. .(April/may 2015)
PART B
1. Discuss the steps in Career Management. (NOV/DEC 2010)
2. Suggest suitable factors for increasing the efficiency of Campus Recruitment.
(NOV/DEC 2010)
3. Explain in detail the various sources of managerial recruitment. (NOV/DEC 2011)
4. If you were to audit an existing performance appraisal system, what criteria would you
use to judge its effectiveness? (NOV/DEC 2011)
5. If you were the chairman of a company, what considerations would guide your judgement
on the following employment issue: a. Hiring of relatives of employees, b. Promoting
from within Vs selecting the best from outside, c. Hiring people recommended by the
government. (MAY/JUNE 2011)
6. Explain in detail the various sources of managerial recruitment. (MAY/JUNE 2011)
7. If you were to audit an existing performance appraisal system, What criteria would you
use to judge its effectiveness? (MAY/JUNE 2010)
8. Why is motivation a critical issue of interest to managers in organisations? Explain.
(MAY/JUNE 2010)
9. Evaluate the 360-degree feedback as a technique of appraisal. (NOV/DEC 2009)
10. Explain equity theory. How can it be used to motivate managers? (May/June 2012)
11. Briefly explain the concept of selection’. what are the different techniques of selection
followed by a personnel manager, while employing the personnel in an organtzation?
(Nov/Dec 2013).
12. What is Career Planning and career development? Explain the various career
development actions. (Nov/Dec 2013).

59
BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA

13. What is career management? Discuss the benefits, significance and step involved in
career management. .(Nov/Dec 2014)
14. Examine the method of identifying managerial talent. Also explain about selection and
recruitment of managerial people. .(Nov/Dec 2014)
15. Explain the process of developing and promoting managerial skills. .(April/may 2015)
16. What are the phases in career management? Explain with practical examples. .(April/may
2015)

60

Das könnte Ihnen auch gefallen