Beruflich Dokumente
Kultur Dokumente
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?
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Candidates who are chosen internally knows the organisation very well.
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On-the-job Off-the-job
training training
Coaching Case study
Conference
Job rotation Role playing
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Setting
objectives
Appraising
Developing
Annual
Action Plan
performance
Conducting
periodic
reviews
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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.
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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
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Duties to be performed
Qualifications required
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.
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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.
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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
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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.
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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.
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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.
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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.
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.
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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.
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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.
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.
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On-the-job Off-the-job
training training
Coaching Case study
Conference
Job rotation Role playing
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
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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.
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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
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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.
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• 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.
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.
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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.
Internal business
Innovation and Learning
(i) Financial Perspective
Return-on-capital employed
Cash flow
Project profitability
Profit forecast reliability
Sales backlog
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• 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).
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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
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Orientation
Questionnaire distribution
Monitoring and follow up
Data feeding and reports
Counseling
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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.
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.
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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.
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.
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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 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
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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.
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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)
It is said that performance appraisal is an investment for the company which can be justified by
following advantages:
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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.
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BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA
14. What are the important and effective management criteria? Explain.
Successful Management
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
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
The effective management rating criteria contain elements within three main categories:
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BA7031/MBE/UNIT- II M.AROKIARAJ @ JOHN Asso.Prof/MBA
• 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.
• 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:
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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.
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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)
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