MASTER OF BUSINESS ADMINISTRATION

ASSIGNMENT SEM-4

MBA 571 (CONSUMER BEHAVIOUR)

Qus-1 What is the reason for the change of the behaviour of consumers of the new
generation?

Ans- Ethical Codes provide a positive stimulus for ethical conduct and helpful guidance and advice
concerning the main obligations of the members of the group to which it applies. Generally, a code
will begin with broad commitments. The remaining functions of the code contribute to the
development and interpretation of these commitments. See, for example, the American Medical
Association’s Code of Medical Ethics. The Code is structured in a way that foregrounds the more
general ideals and commitments, which are outlined in the “Principles of Medical Ethics” section.
Each of the following Chapters, meanwhile, provides in-depth guidance on topics morally relevant
to medical ethics. More specific directions may be given in supplementary statements or guidelines,
such as one finds in the Ethical Guidelines for Organ Transplantation. These supplementary
guidelines aid in the application and interpretation of codes in certain circumstances.

Support

Codes give positive support to those seeking to act ethically. A publicly proclaimed code allows a
person who is under pressure to act unethically to say: “I am bound by the code of ethics of my
profession, which states that…” This provides a level of group cooperation in taking stands on moral
issues. Moreover, codes can potentially serve as legal support in courts of law for those seeking to
meet work-related moral obligations.

Deterrence and Discipline

Codes can serve as the formal basis for investigating unethical conduct. Where such investigation is
possible, prudence becomes a motive for acting ethically. Occasionally, violations of ethics codes are
grounds for the revocation of the ability to practice professionally, such as one finds with the role of
the American Bar Association’s Model Rules of Professional Conduct in disbarment procedures.
Education and Mutual Understanding

Codes can be used in the classroom and elsewhere to prompt discussion and reflection on moral
issues and to encourage a shared understanding among professionals, the public, and government
organizations concerning the special moral responsibilities of individuals in professions,
organizations, and/or a specific practice. For example, see the National Society of Professional
Engineers Code of Ethics, which encourages a form of “sustainable development” that meets human
needs while conserving and protecting environmental quality. For an example of how ethics codes
be revised or manipulated in order to permit certain activities, see the New York Times summary of
the 2015 Hoffman Report. The Report documents the American Psychological Association’s
collusion with the United States Department of Defense and Central Intelligence Agency, which
enabled psychologists’ participation in “enhanced interrogation” techniques during the George W.
Bush administration.

Contributions to Public Image

Codes can present a positive image to the public of an ethically guided profession, organization, or
practice. Where the image is warranted, it can help members more effectively serve the public. It
can also win greater powers of self-regulation for the group itself, while lessening the demand for
more government regulation. The reputation of a profession, organization, or practice, like the
reputation of an individual or a corporation, is essential in sustaining the trust of the public.

Shared Standards

The diversity of moral viewpoints among individual practitioners makes it essential that a
profession, organization, or practice establish explicit standards, in a particular minimum standard
beyond what law, market, morality, and public opinion would otherwise require. In this way, the
public is assured of a good conduct and professionals, organizations, and other practitioners are
provided a fair playing field in which to compete.

Functions defined in Martin, Mike W. and Schinzinger, Roland, Ethics in Engineering, 2nd edition,
New York: McGraw Hill, 1989. Some of the language has been adjusted in order to make the
categories more applicable to ethics codes in general and not simply ethics codes in engineering.
Also, several of the categories have been supplemented by changes in the 4 th edition of Ethics in
Engineering

Q-2. How does external environment affect the consumer behaviour?

Ans -A profession is a vocation founded upon specialized educational training, the purpose of which
is to supply disinterested objective counsel and service to others, for a direct and definite
compensation, wholly apart from expectation of other business gain.[1][2] The term is a truncation of
the term "liberal profession", which is, in turn, an Anglicization of the French term "profession
libérale". Originally borrowed by English users in the 19th century, it has been re-borrowed by
international users from the late 20th, though the (upper-middle) class overtones of the term do
not seem to survive retranslation: "liberal professions" are, according to the European Union's
Directive on Recognition of Professional Qualifications (2005/36/EC) "those practiced on the basis of
relevant professional qualifications in a personal, responsible and professionally independent
capacity by those providing intellectual and conceptual services in the interest of the client and the
public".
It has been said that a profession is not a trade[3] and not an industry.[4]

The following document was developed when I was a graduate student working on my doctorate at
the University of Virginia. Read the following, and decide for yourself whether your profession
meets these criteria. I consider the criteria to be an important set of guidelines and an integral part
of ADPRIMA.

I. Professions are occupationally related social institutions established and maintained as a means of
providing essential services to the individual and the society.

2. Each profession is concerned with an identified area of need or function (for example,
maintenance of physical and emotional health, preservation of rights and freedom, enhancing the
opportunity to learn).

3. The profession collectively, and the professional individually, possesses a body of knowledge and
a repertoire of behaviors and skills (professional culture) needed in the practice of the profession;
such knowledge, behavior, and skills normally are not possessed by the nonprofessional.

4. Members of the profession are involved in decision making in the service of the client. These
decisions are made in accordance with the most valid knowledge available, against a background of
principles and theories, and within the context of possible impact on other related conditions or
decisions.

5. The profession is based on one or more undergirding disciplines from which it builds its own
applied knowledge and skills.

6. The profession is organized into one or more professional associations, which, within broad limits
of social accountability, are granted autonomy in control of the actual work of the profession and
the conditions that surround it (admissions, educational standards, examination and licensing,
career line, ethical and performance standards, professional discipline).

7. The profession has agreed-upon performance standards for admission to the profession and for
continuance within it.

8. Preparation for and induction into the profession is provided through a protracted preparation
program, usually in a professional school on a college or university campus.
9. There is a high level of public trust and confidence in the profession and in individual
practitioners, based upon the profession's demonstrated capacity to provide service markedly
beyond that which would otherwise be available.

10. Individual practitioners are characterized by a strong service motivation and lifetime
commitment to competence.

11. Authority to practice in any individual case derives from the client or the employing
organization; accountability for the competence of professional practice within the particular case is
to the profession itself.

12. There is relative freedom from direct on-the-job supervision and from direct public evaluation of
the individual practitioner. The professional accepts responsibility in the name of his or her
profession and is accountable through his or her profession to the society.

Non-Professional shall mean and include either (i) an individual, natural person Subscriber(s) who, or
(ii) certain small business entities (limited liability companies, partnerships, trusts or corporations)
that, receive and use Information (excluding any pit traded data), in each case subject to the
following restrictions:

The Non-Professional Subscriber

(a) the Subscriber must have an active futures trading account;

(b) the Subscriber must not be a member (or hold or lease any type membership) of any exchange;

(c) the Subscriber does not have a primary business purpose that involves trading;

(d) the Subscriber must not be registered or qualified as a professional trader or investment adviser
with any stock, commodities or futures exchange or contract market, or with any regulatory
authority, professional association or recognized professional body; and

(e) the Subscriber must not be affiliated with any entity that is or may be considered a Professional
user

Professional Subscribers: Any Subscriber that does not meet the qualifications of a Non-Professional
or falls under the categories described below will be considered a Professional. Notwithstanding
anything else herein,

Q-3. What do you understand by an organizational customer? Why is it called a Ghost?

Ans - FIVE STEPS TO RISK ASSESSMENT

STEP 1- Look for the hazards
STEP 2- Decide who might be harmed, and how
 STEP 3- Evaluate the risks arising from the hazards and should be done.

STEP 4- Record your findings

STEP 5- Review your assessment from time to time and revise

it if necessary

1. This leaflet is intended to help employers and self-employed people to assess risks in the workplace. It is
aimed at firms in the commercial, service and light industrial sectors.

2. An assessment of risk is nothing more than a careful examination of what, in your work, could cause harm to
people, so that you can weigh up whether you have taken enough precautions of should do more to prevent
harm. The aim is to make sure that no one gets hurt or becomes ill. Accidents and ill health can ruin lives, and
affect your business too if output is lost, machinery is damaged, insurance costs increase, or you have to go
to court.

3. Don’t be put off by some of the words used in this guide.

 ‘Hazard’ means anything that can cause harm (eg. Chemicals, electricity, working from ladders, etc).
 ‘Risk’ is the chance, great or small, that someone will be harmed by the hazard.

4. The important things you need to decide are whether a hazard is significant and whether you have it covered
by satisfactory precautions so that the risk is small. You need to check this when you assess the risks. For
instance, electricity can kill but the risk of if doing so in an office environment is remote, provided that ‘live’
components are insulated and metal castings properly earthed.

How to assess risk in the workplace?

5. Don’t be overcomplicated. In most, firms, in the commercial, service, and light industrial sector, the
hazards are few and simple. Checking them is commonsense, but necessary. You may have already assessed
some of them – for example, if you use toxic or dangerous chemicals, you should already have made an
assessment of the risks to health, and precautions you need to take under the Control or substances.
Hazardous to Health Regulations (COSHH). If so, you can consider them ‘checked’, and more write that down
if you are making a written assessment. For other hazards, you probably already know whether you have
machinery that could cause harm, or if there is an awkward entrance or stair where someone could be hurt.
If so, check that you have taken what reasonable precautions you can to avoid injury.
6. If you are a small firm and you are confident you understand the work, you can do the assessment yourself.
If you are a larger firm, you could ask a responsible employee, safety representative or safety officer to help
you. if you are not confident, get help from a competent source (see paragraph 19). But remember – you are
responsible for seeing it is adequately done.

7. If you are doing the assessment yourself, walk around your workplace and look afresh at what could
reasonably be expected to cause harm. Ignore the trivial and concentrate only on significant hazards, which
would result in serious harm of affect several people. Ask your employees or their representatives what they
think. They may have noticed things, which are not immediately obvious. Manufacturers’ instructions of
datasheets can also help you spot hazards and put risks in their true perspective. So, can accidents and ill-
health records.

8. Think about people who may not be in the workplace all the time, eg cleaners, visitors, contractors,
maintenance, personnel, etc. include members of the public, or people you share your workplace with, if
there is a chance they could be hurt by your activities.

9. Even after all precautions have been taken, usually some risk remains. What you have to decide for each
significant hazard is whether this remaining risk is high, medium, or low. First, ask yourself whether you have
done all the things that the law says you have got to do. For example, there are legal requirements on
prevention of access to dangerous parts of machinery. Then ask yourself whether generally accepted industry
standards are in place. But don’t stop there – think for yourself, because the law also says that you must do
what is reasonably practicable to keep your workplace safe. Your real aim is to make all risks small by adding
to your precautions if necessary. More information about legal requirements and standards can be found in
the HSE publications.

Management of Health and Safety at Work: Approved Code of Practice and Essentials of Health and Safety,
details of which are given at the end of this leaflet.

10. Improving health and safety need not cost a lot. For instance, placing a mirror on a dangerous blind corner to
help prevent vehicle accidents, or putting some non-slip material on slippery steps, are inexpensive
precautions considering the risks.

11. If you find that something needs to be done, ask yourself.

(a) Can I get rid of the hazard altogether?
(b) If not, how can I control the risks so that harm is unlikely?

Only use personal protective equipment when there is nothing else that you can reasonably do.

12. If the work you do tends to vary a lot, or if you or your employees move from one site to another, select those
hazards which you can reasonably foresee and assess the risks from them. After that, if you spot any and
assess the risks from them. After that, if you spot any unusual hazard when you get to a site, get information
from others on site, and take what action seems necessary.
13. If you share a workplace, tell the other employers and self-employed people there about any risks your work
could cause them, and what precautions you are taking. Also, think about the risks to your workforce from
those who share workplace.

14. If you have fewer than five employees you do not need to write anything down, but if you have five or more
employees you must record the significant findings of your assessment. This means (1) writing down the
more significant hazards and (2) recording you most important conclusions – for example, “Electrical
installations: insulation and earthing checked and found sound”, or “Fume from welding: local exhaust
ventilation provided and regularly checked.” You must also inform your employees about your findings.

15. There is no need to show how you did your assessment, provided you can show that:
- a proper check was made;
- you asked who might be affected;
- you dealt with all the obvious significant hazards,
taking into account the number of people who could be involved.
- the precautions are reasonable, and the remaining risk is low.

Assessments need to be suitable and sufficient, not perfect. The real points are:
- Are the precautions reasonable, and
- Is there something to show that a proper check was made?

16. Keep the written document for future reference or use; it can help you if an inspector questions your
precautions, or if you become involved in any action for civil liability. It can also remind you to keep an eye on
particular matters. And it helps to show that you have done what the law requires. There is a form with this
guide which you may find helpful but, by all means, produce your own from if it suits you better.

17. To make things simpler, you can refer to other documents, such as manuals, the arrangements in your health
and safety policy statement, company rules, manufactures’ instructions, and your health and safety
procedures. These may already list hazards and precautions. You don’t need to repeal all that, and it is up to
you whether you combine all the documents, or keep them separately.

(c) Sooner or later, you will bring in new machines, substances, and procedures, which could lead to new
hazards. If there is any significant change, you should add to the assessment to take account of the new
hazard. In any case, it is good practice to review your assessment from time to time. Don’t amend your
assessment for every trivial change, or still more, for each new job, but if a new job introduces significant
new hazards of its own, you will want to consider them in their own right and do whatever you need to
keep the risks down.

Q-4. What are opinion leaders? What role do they play in transmitting information?

Ans- Professional ethics encompass the personal, and corporate standards of behavior expected
by professionals.[1]
The word professionalism originally applied to vows of a religious order. By at least the year 1675,
the term had seen secular application and was applied to the three learned
professions: Divinity, Law, and Medicine.[2] The term professionalism was also used for the military
profession around this same time.
Professionals and those working in acknowledged professions exercise specialist knowledge and
skill. How the use of this knowledge should be governed when providing a service to the public can
be considered a moral issue and is termed professional ethics.[3]
It is capable of making judgments, applying their skills, and reaching informed decisions in situations
that the general public cannot because they have not attained the necessary knowledge and
skills.[4] One of the earliest examples of professional ethics is the Hippocratic oath to which
medical doctors to this day

Components
Some professional organizations may define their ethical approach in terms of a number of discrete
components.[5] Typically these include:

 Honesty
 Integrity
 Transparency
 Accountability
 Confidentiality
 Objectivity
 Respect
 Obedience to the law
 Loyalty

Implementation
Most professionals have internally enforced codes of practice that members of the profession must
follow to prevent exploitation of the client and to preserve the integrity of the profession. This is not
only for the benefit of the client but also for the benefit of those belonging to that profession.
Disciplinary codes allow the profession to define a standard of conduct and ensure that individual
practitioners meet this standard, by disciplining them from the professional body if they do not
practice accordingly. This allows those professionals who act with a conscience to practice in the
knowledge that they will not be undermined commercially by those who have fewer ethical qualms.
It also maintains the public’s trust in the profession, encouraging the public to continue seeking
their services.
Internal regulation
In cases where professional bodies regulate their own ethics, there are possibilities for such bodies
to become self-serving and fail to follow their own ethical code when dealing with renegade
members. This is particularly true of professions in which they have almost a complete monopoly on
a particular area of knowledge. For example, until recently, the English courts deferred to the
professional consensus on matters relating to their practice that lay outside case law and
legislation.[6]

Statutory regulation
In many countries there is some statutory regulation of professional ethical standards such as
the statutory bodies that regulate nursing and midwifery in England and Wales.[7]Failure to comply
with these standards can thus become a matter for the courts.

Examples
For example, a lay member of the public should not be held responsible for failing to act to save
a car crash victim because they could not give an appropriate emergency treatment. Though, they
are responsible for attempting to get help for the victim. This is because they do not have the
relevant knowledge and experience. In contrast, a fully trained doctor (with the correct equipment)
would be capable of making the correct diagnosis and carrying out appropriate procedures. Failure
of a doctor to not help at all in such a situation would generally be regarded
as negligent and unethical. Though, if a doctor helps and makes a mistake that is considered
negligent and unethical, there could be egregious repercussions. An untrained person would only be
considered to be negligent for failing to act if they did nothing at all to help and is protected by
the "Good Samaritan" laws if they unintentionally caused more damage and possible loss of life.
A business may approach a professional engineer to certify the safety of a project which is not safe.
While one engineer may refuse to certify the project on moral grounds, the business may find a
less scrupulous engineer who will be prepared to certify the project for a bribe, thus saving the
business the expense of redesigning.[8]
Separatism
On a theoretical level, there is debate as to whether an ethical code for a profession should be
consistent with the requirements of morality governing the public. Separatists argue that
professions should be allowed to go beyond such confines when they judge it necessary. This is
because they are trained to produce certain outcomes which may take moral precedence over
other functions of society.[9]:282 For example, it could be argued that a doctor may lie to a patient
about the severity of his or her condition if there is reason to believe that telling the patient would
cause so much distress that it would be detrimental to his or her health. This would be a disrespect
of the patient's autonomy, as it denies the patient information that could have a great impact on his
or her life. This would generally be seen as morally wrong. However, if the end of improving and
maintaining health is given a moral priority in society, then it may be justifiable to contravene other
moral demands in order to meet this goal.[9]:284 Separatism is based on a relativist conception of
morality that there can be different, equally valid, moral codes that apply to different sections of
society and differences in codes between societies (see moral relativism). If moral universalism is
ascribed to, then this would be inconsistent with the view that professions can have a different
moral code, as the universalist holds that there is only one valid moral code for all. [9]:285.

Student ethics
As attending college after high school graduation becomes a standard in the lives of young
people, colleges and universities are becoming more business-like in their expectations of the
students. Although people have differing opinions about if it is effective, surveys state that it is the
overall goal of the university administrators.[10] Setting up a business-like atmosphere helps students
get adjusted from a more relaxed nature, like high school, towards what will be expected of them in
the business world upon graduating from College.
Codes of conduct
Codes of conduct, such as the St. Xavier Code of Conduct, are becoming more a staple in the
academic lives of students.[11] While some of these rules are based solely on academics others are
more in depth than in previous years. Such as, detailing the level of respect expected towards staff
and gambling.
Not only do codes of conduct apply while attending the schools at home, but also while studying
abroad. Schools also implement a code of conduct for international study abroad programs which
carry over many of the same rules found in most student handbooks.[1

MBA 572 (INDUSTRIAL MARKETING)

Q-1. Explain the role of advertising in industrial marketing.

Ans - A turnaround is the financial recovery of a company that has been performing poorly for an
extended time. To effect a turnaround, a company must acknowledge and identify its problems,
consider changes in management, and develop and implement a problem-solving strategy. In some
cases, the best strategy may be to cut losses by liquidating the company rather than trying to turn it
around. A turnaround may also refer to the recovery of a nation's or region's economy after a
period of recession or stagnation.
Turnarounds are rarely spontaneous. Instead, they are often the result of increased efforts or
changes in current practices. Internally, this can include updates to manufacturing processes,
changes in management strategies or significant reductions in certain spending categories.
Turnarounds may also be spurred by outside forces, such as a business experiencing a turnaround
due to changes in regulations resulting in higher profits, or the lowering of raw material costs that
unexpectedly rose, such as with fuel prices.
Turnaround management is a process dedicated to corporate renewal. It uses analysis and planning
to save troubled companies and returns them to solvency, and to identify the reasons for failing
performance in the market, and rectify them. Turnaround management involves management
review, root failure causes analysis, and SWOT analysis to determine why the company is failing.
Once gdg analysis is completed, a long term strategic plan and restructuring plan are created. These
plans may or may not involve a bankruptcy filing. Once approved, turnaround professionals begin to
implement the plan, continually reviewing its progress and make changes to the plan as needed to
ensure the company returns to solvency. Turnaround Managers
Turnaround Managers are also called Turnaround Practitioners , and often are interim managers
who only stay as long as it takes to achieve the turnaround. Assignments can take anything from 3
to 24 months depending on the size of the organization and the complexity of the job. Turnaround
management does not only apply to distressed companies, it in fact can help in any situation where
direction, strategy or a general change of the ways of working needs to be implemented. Therefore
turnaround management is closely related to change management, transformation management
and post-merger-integration management. High growth situation for example are one typical
scenario where turnaround experts also help. More and more turnaround managers are becoming a
one-stop-shop and provide help with corporate funding (working closely with banks and the Private
Equity community) and with professional services firms (such as lawyers and insolvency
practitioners) to have access to a full range of services that are typically needed in a turnaround
process. Most turnaround managers are freelancers and work on day rates. The job often involves
frequent travel. Others work for large corporations and have permanent positions.

Stages
Stages in repositioning of an organization:

1. The evaluation and assessment stage

2. The acute needs stage
3. The restructuring stage
4. The stabilization stage
5. The revitalization stage
The first stage is delineated as onset of decline (1). Factors that cause this circumstance are new
innovations by competitors or a downturn in demand, which leads to a loss of market share and
revenue. But also stable companies may find themselves in this stage, because of maladministration
or the production of goods that are not interesting for customers. In public organisations are
external shocks, like political or economical, reasons that could cause a destabilization of a
performance.
Sometimes an onset of decline can be temporary and through a corrective action and recovery
(2) been fixed.
The reposition situation (3) is the point in the process, where the minimally accepted performance is
long-lasting below its limits. In empirical studies a performance of turnaround is measured through
financial success indicators. These measures ignore other performance indicators such as impact on
environment, welfare of staff, and corporate social responsibility. The organizational leaders need to
decide, if a strategy change should happen or the current strategy be kept, which could lead on the
other hand to a company takeover or an insolvency. In the public sector performances are
characterized by multiple aims that are political contested and constructed. Nevertheless, are
different criteria of performances used by different stakeholders and even if its use results in the
same criteria, it is likely that different weights apply to them. So if a public organization is situated in
a turnaround situation, it is subject to the dimensions of a performance (e.g. equity, efficiency,
effectiveness) as well as its approach of their relative importance. This political point of view
suggests that a miscarriage in a public service may happen when key stakeholders are ongoing
dissatisfied by a performance and therefore the existence of an organisation might be unclear. In
the public sector success and failure is judged by the higher bodies that bestow financial, legal, or
other different resources on service providers.
If decision maker choose to take a new course, because of the realization that actions are required
to prevent an ongoing decline, they need at first to search for new strategies (4). Question that need
to be asked here are, if the search for a reposition strategy should be participative and decentralized
or secretive and centralized or intuitive and incremental or analytic and rational. Here, the selection
must be made quickly, since a second turnaround may not be possible after a new or existing poor
performance. This means, that a compressed strategy process is necessary and therefore an
extensive participation and analysis may be precluded. The same applies to the public sector,
because the public authorities are highly visible and politically under pressure to rapidly implement
a recovery plan.
Is the fifth stage reached, the selection of a new strategy (5a) has been made by the company.
Especially researcher typically concentrates on this one of the reposition process. Most of them
focus on the structure and its impact on the performance of the strategy that was implemented. It is
even stated by the scientist, that a commercial success is again possible after a failing of the
company. But different risk-averse groups, like suppliers, customers or staff may be against a
change or are sceptical about the implementation of the strategy. These circumstances could result
in a blockade of the realization. Also the conclusion is conceivable, that no escape strategy is found
(5b), as a result that some targets can’t be achieved. In the public sector it is difficult to find a
recoverable strategy, which therefore could lead to a permanent failure. The case may also be, that
though a recovery plan is technically feasible, it might not be political executable.
The implication of the new strategy (6) ensues in the following sixth stage. It is a necessary
determinant of organizational success and has to be a fundamental element of a valid turnaround
model. Nevertheless, it is important to note, that no empirical study sets a certain turnaround
strategy.
The outcomes of the turnaround strategies can result in three different ways. First of all a terminal
decline (7a) may occur. This is possible for situations, where a bad strategy was chosen or a good
strategy might have been implemented poorly. Another conceivable outcome is a continued failure
(7b). Here is the restructuring plan failed, but dominant members within the company and the
environment still believe that a repositioning is possible. If that’s the case, they need to restart at
stage four and look for a new strategy. Does an outcome of the new strategy turns out to be good,
a turnaround (7c) is called successful. This is achieved, when its appropriate benchmark reaches the
level of commercial success, like it was the case before the onset of decline. This is commonly
measured in a timeframe between two and four year.

Techniques
There are different techniques that can be applied to cause a repositioning. The four main
techniques are known as Retrenchment, Repositioning, Replacement and Renewal:
Retrenchment
The Retrenchment strategy of the turnaround management describes wide-ranging short-term
actions, to reduce financial losses, to stabilize the company and to work against the problems, that
caused the poor performance.[1] The essential content of the Retrenchment strategy is therefore to
reduce scope and the size of a business through Shrinking Selective Strategy. This can be done by
selling assets, abandoning difficult markets, stopping unprofitable production lines, downsizing and
outsourcing. These procedures are used to generate resources, with the intention to utilize those
for more productive activities, and prevent financial losses. Retrenchment is therefore all about an
efficient orientation and a refocus on the core business.[2] Despite that many companies are
inhibited to perform cutbacks, some of them manage to overcome the resistance. As a result they
are able get a better market position in spite of the reductions they made[3] and increase
productivity and efficiency.[4] Most practitioners even mention, that a successful turnaround
without a planned retrenchment is rarely feasible.[5]
Repositioning
The repositioning strategy, also known as "entrepreneurial strategy", attempts to generate revenue
with new innovations and change in product portfolio and market position. This includes
development of new products, entering new markets, exploring alternative sources of revenue and
modifying the image or the mission of a company.[6]
Replacement
Replacement is a strategy, where top managers or the Chief Executive Officer (CEO) are replaced by
new ones. This turnaround strategy is used, because it is theorized that new managers bring
recovery and a strategic change, as a result of their different experience and backgrounds from their
previous work.[7] It is also indispensable to be aware, that new CEO’s can cause problems, which are
obstructive to achieve a turnaround. For an example, if they change effective organized routines or
introduce new administrative overheads and guidelines.[8] Replacement is especially qualified for
situations with opinionated CEO’s, which are not able to think impartial about certain problems.
Instead they rely on their past experience for running the business or belittle the situation as short-
termed. The established leaders fail therefore to recognize that a change in the business strategy is
necessary to keep the company viable. There are also situations, where CEO’s do notice that a
current strategy isn’t successful as it should be. But this hasn’t to imply, that they are capable or
even qualified enough to accomplish a turnaround.[9] Is a company against a Replacement of a
leader, could this end in a situation, where the declining process will be continued. As result
qualified employees resign, the organisation discredits and the resources left will run out as time
goes by.[10]
Renewal
With a Renewal a company pursues long-term actions, which are supposed to end in a successful
managerial performance. The first step here is to analyze the existing structures within the
organization. This examination may end with a closure of some divisions, a development of new
markets/ projects or an expansion in other business areas.[11] A Renewal may also lead to
consequences within a company, like the removal of efficient routines or resources. On the other
hand are innovative core competencies implemented, which conclude in an increase of knowledge
and a stabilization of the company value.[12]

Hurdles or challenges
Three critical hurdles or challenges that management faces in any repositioning program:

1. Design: What type of restructuring is appropriate for dealing with the specific challenge,
problem, or opportunity that the company faces?
2. Execution: How should the restructuring process be managed and the many barriers to
restructuring overcome so that as much value is created as possible? [13]
 3. Marketing: How should the restructuring be explained and portrayed to investors so that
value created inside the company is fully credited to its stock price?

Qus-2. Discuss the types of industrial customers and their purchase practices in India.

Ans- Planning is thus taken as the foundation for future activities. Newman has thus defined it
as, “Planning is deciding in advance what is to be done; that is a plan is a projected course of
action.”

So, planning can be thought of as deciding on a future course of action. It may also be treated as a
process of thinking before doing.
Management has to plan for long-range and short-range future direction by looking ahead into the
future, by estimating and evaluating the future behavior of the relevant environment and by
determining the enterprise’s own desired role.
Planning involves determining various types and volumes of physical and other resources to be
acquired from outside, to allocate these resources in an efficient manner among competing claims
and to make arrangement for systematic conversion of these resources into useful outputs.
As it is clear from the above discussion, plans have two basic components: goals and action
statements.
Goals represent an end state — the targets and results that managers hope to achieve.
Action statements represent the means by which an organization goes ahead to attain its goals.
Planning is a deliberate and conscious act by means of which managers determine a course of
action for pursuing a specific goal.
Planning to a manager means thinking about what is to be done, who is going to do it, and how and
when he will do it. It also involves thinking about past events (retrospectively) and about future
opportunities and impending threats (prospectively).
Planning enquirers about organizational strengths and weaknesses and involves decision making
about desired ways and means to achieve them.
There are, however, differences between decision making and planning. Decisions can be made
without planning but planning cannot be done without making decisions.
Nature of Planning
The nature of planning can be understood by examining its four major aspects. They are;

1. It is a contribution to objectives,
2. It is primacy among the manager’s tasks.
3. It is pervasiveness, and
4. The efficiency of resulting plans.

The contribution of Planning to the Attainment of Objectives

Since plans are made to attain goals or objectives, every plan and all its support should contribute to
the achievement of the organization’s purpose and objectives.
An organized enterprise exists to accomplish group objectives through willing and purposeful co-
operation.
Primacy of Planning
That planning is the prime managerial function is proved by the fact that all other functions such as
organizing, staffing, leading and controllingare designed to support the accomplishment of the
enterprise’s objectives.
Planning quite logically, therefore, comes first before executing of all other managerial functions as it
involves establishing the objectives necessary for all group efforts. Also, all the other managerial
functions must be planned if they are to be effective.
Likewise, planning and controlling are inextricably bound up. Control without a plan is meaningless
because the plan provides the basis or standard of control.
Pervasiveness of Planning
Planning is a unique and universal function of all managers. The character and scope of planning
may vary with each manager’s authority and with the nature of the policies and plans outlined by
superiors, but all managers must have some function of planning.
Because of one’s authority or position in the managerial hierarchy, one may do more or less
planning, but some kind or amount of planning a manager must do.
According to Weihrich and Koontz; “All managers, from presidents to first-level supervisors – plan.”
The Efficiency of Plans
Plans should not only be effective, but also efficient. The effectiveness of a plan relates to the extent
to which it accomplishes the objectives.
The efficiency of the plan, however, means its contribution to the purpose and objectives, offset by
the costs and other factors required to formulate and operate it.
Plans are efficient if they achieve their objective at a reasonable cost when such a cost is the
measure not only in terms of time, money or production but also in terms of satisfaction of the
individual or group.
Both conceptual and practical reasons are put forward in support of planning. Two conceptual
reasons supporting systematic planning by managers are limited resources and an uncertain
environment.
Meeting the Challenge of Resource Scarcity
Resource scarcity is a very important consideration for any organization today. There would be no
need for planning if material, financial and human resources were unlimited and cheap.
Planners in both private business and public agencies are challenged to stretch their limited
resources through intelligent planning. Otherwise, wasteful inefficiencies would give rise to higher
prices, severe shortages, and great public dissatisfaction.
Facing Environmental Uncertainty
The second most important conceptual reason is that organizations continually face environmental
uncertainty in the course of accomplishing the tasks.
Organizations meet this challenge largely through planning safeguard. Some organizations do this
job better than others partly because of their differing patterns of response to environmental
factors beyond the organization’s immediate control.

1. Planning contributes to Objectives:

Planning starts with the determination of objectives. We cannot think of planning in absence of
objective. After setting up of the objectives, planning decides the methods, procedures and steps to
be taken for achievement of set objectives. Planners also help and bring changes in the plan if things
are not moving in the direction of objectives.

For example, if an organisation has the objective of manufacturing 1500 washing machines and in
one month only 80 washing machines are manufactured, then changes are made in the plan to
achieve the final objective.

2. Planning is Primary function of management:

Planning is the primary or first function to be performed by every manager. No other function can
be executed by the manager without performing planning function because objectives are set up in
planning and other functions depend on the objectives only.

For example, in organizing function, managers assign authority and responsibility to the employees
and level of authority and responsibility depends upon objectives of the company. Similarly, in
staffing the employees are appointed. The number and type of employees again depends on the
objectives of the company. So planning always proceeds and remains at no. 1 as compared to other
functions.

3. Pervasive:
Planning is required at all levels of the management. It is not a function restricted to top level
managers only but planning is done by managers at every level. Formation of major plan and
framing of overall policies is the task of top level managers whereas departmental managers form
plan for their respective departments. And lower level managers make plans to support the overall
objectives and to carry on day to day activities.

4. Planning is futuristic/Forward looking:

Planning always means looking ahead or planning is a futuristic function. Planning is never done for
the past. All the managers try to make predictions and assumptions for future and these predictions
are made on the basis of past experiences of the manager and with the regular and intelligent
scanning of the general environment.
5. Planning is continuous:
Planning is a never ending or continuous process because after making plans also one has to be in
touch with the changes in changing environment and in the selection of one best way.

So, after making plans also planners keep making changes in the plans according to the requirement
of the company. For example, if the plan is made during the boom period and during its execution
there is depression period then planners have to make changes according to the conditions
prevailing.

6. Planning involves decision making:

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The planning function is needed only when different alternatives are available and we have to select
most suitable alternative. We cannot imagine planning in absence of choice because in planning
function managers evaluate various alternatives and select the most appropriate. But if there is one
alternative available then there is no requirement of planning.

For example, to import the technology if the licence is only with STC (State Trading Co-operation)
then companies have no choice but to import the technology through STC only. But if there is 4-5
import agencies included in this task then the planners have to evaluate terms and conditions of all
the agencies and select the most suitable from the company’s point of view.

7. Planning is a mental exercise:

It is mental exercise. Planning is a mental process which requires higher thinking that is why it is
kept separate from operational activities by Taylor. In planning assumptions and predictions
regarding future are made by scanning the environment properly. This activity requires higher level
of intelligence. Secondly, in planning various alternatives are evaluated and the most suitable is
selected which again requires higher level of intelligence. So, it is right to call planning an intellectual
process.

Qus-3.What is sales promotion? Why do industrial marketers go for it?

Ans- Working capital is generally thought of as a measure of a firm’s ability to meet its obligations
occurring over the next year. The term is commonly defined as the difference between current
assets and current liabilities. In practice, variations on how working capital is calculated typically
include the treatment of short-term debt and cash equivalents. Fixed capital refers to long-term
assets including machinery and property used in the course of production.

Key Differences

With these definitions in mind, there are several key differences between working capital and fixed
capital. The first is liquidity. Working capital assets must be easily convertible into cash, while fixed
capital is typically expensive and has a particular functional use making it relatively illiquid.

A second differentiating factor is strategic scope. Working capital is comprised of short-term assets
and liabilities used in a firm’s day-to-day operations. Fixed capital investments are more integral to a
firm's business plan because they are typically expensive and have a long useful life.

Finally, there is a separate budgeting process for working capital and fixed capital. Working capital
budgeting is based on short-term financial projections, usually a year or less. Fixed capital budgeting
is based on long-term planning decisions involving the firm’s strategic objectives; multiyear cash
flow outlook; and investment criteria, such as benchmarks for return on invested
capital and payback period.
Difference between Fixed Capital and Working Capital
Every organization requires money to carry on the business activities and the money required by the
organization is termed as CAPITAL. The capital is mainly divided into two types

1. Fixed Capital
2. Working Capital.

The modern finance manager has to take decisions to efficiently allocate the fixed capital and
working capitalamong the investments of fixed assets and current assets to ensure the smooth
running
of the organization in the long run.
The words of H. G. Guthmann clearly explain the importance of working capital. “Working Capital is
the lifeblood and nerve center of the business.”

In the words of Walker, “A firm’s profitability is determined in part by the way its working capital is
managed.”

FIXED CAPITAL
Fixed capital refers to the funds invested in fixed or permanent assets as land, building, and
machinery etc by the organization.Fixed capital is required for establishment of business. Fixed
capital invested in the long term assets is very important since it determines the value of firm
through the growth, profitability, and risk. Fixed capital also refers to investment in intangible assets
like copyrights, patents, goodwill, organization.
WORKING CAPITAL
working capital refers to the funds which are invested in materials, work in progress, finished goods,
receivables, and cash etc. Working capital is required to utilize fixed assets of the company. Working
capital plays a key role in a business enterprise. The efficiency of the business enterprise largely
FIXED CAPITAL WORKING CAPITAL

Fixed capital may be defined as capital invested in Working capital may be defined as capital
long-term assets. invested in current assets

Requirement

Fixed capital is required for establishment of Working capital is required to utilize fixed assets
business. of the company.

Sources of Funds

The industrial units mobilize fixed capital from The industrial units mobilize working capital from
various sources like shares, debentures, banks etc. the commercial bank loans, profits retained, etc.
which are to be repaid over long time period. which are repayable before one year.

Conversion

The fixed capital which is used for fixed assets is The working capital investments have high
not easily convertible into cash. liquidity and can be easily convertible into cash.

Nature

Fixed capital is a one-time investment to purchase

Working capital is required constantly for day to
fixed assets for starting a business or for
day business activities of the organization.
expanding a business.

Duration
Fixed capital in long-term investment i.e it is Working capital is usually a short term
invested at the for long peri`ods of time. investment for running of businesses day to day
operations.

Returns

Working capital is generally focused on meeting

Fixed capital aims at long-term return to the
the daily requirements for operational activities
organization.
of the organization.

Amount Required

Working capital required is considerably less in

Fixed capital constitute a very large amount of
amount when compared to Fixed Capital of the
investments done by the organization.
organization.

Assets

Fixed capital invested in long-term fixed assets is Working capital invested in current assets is
studied under "Capital Budgeting". studied under "Working Capital Management".

depends on its ability to manage its working capital. Working Capital is concerned with the
management of firm’s current assets and current liabilities.

COMPARISON TABLE
There exist numerous differences between Fixed Capital and Working Capital, some of them are as
follows.
 Qus -4. What are the issues involved in identifying channel alternatives? Explain.

A ns- Difference Between Coordination and Cooperation

Coordination refers to the organisation of all the activities in an orderly manner, to achieve
unanimity of individual efforts in the pursuit of group goals. On the flip side, cooperation is a
discretionary action of individuals to work together or help one another, for a mutual benefit. It is a
joint effort of the members working in the organization for accomplishing a defined target.

The 3C’s vital for teamwork are coordination, cooperation and collaboration. It is quite common to
misconstrue coordination for cooperation, as both are essential for effective functioning of
management. So, the article presented to you makes an attempt to shed light on the differences
between coordination and cooperation.

Content: Coordination Vs Cooperation

1. Comparison Chart
2. Definition
3. Key Differences
4. Conclusion

Comparison Chart
BASIS FOR
COORDINATION COOPERATION
COMPARISON

Meaning Coordination is the systematic Cooperation is described as the

arrangement of various elements act of working together or
of management so as to ensure conforming to standards, for
smooth functioning. achieving a common goal.

What is it? It is a part of management It is a voluntary activity.

process.

Process Contrived Natural

Communication Open Tacit

Time horizon Long term Short term

BASIS FOR
COORDINATION COOPERATION
COMPARISON

Relations Formal Informal

Activity Performed at top level Performed at each level

management

Difference Between Coordination and Cooperation

November 4, 2016 By Surbhi S 1 Comment

Coordination refers to the organisation of all the activities in an

orderly manner, to achieve unanimity of individual efforts in the pursuit of group goals. On the flip
side, cooperation is a discretionary action of individuals to work together or help one another, for a
mutual benefit. It is a joint effort of the members working in the organization for accomplishing a
defined target.

The 3C’s vital for teamwork are coordination, cooperation and collaboration. It is quite common to
misconstrue coordination for cooperation, as both are essential for effective functioning of
management. So, the article presented to you makes an attempt to shed light on the differences
between coordination and cooperation.

Content: Coordination Vs Cooperation

1. Comparison Chart
2. Definition
 3. Key Differences
4. Conclusion

Comparison Chart
BASIS FOR
COORDINATION COOPERATION
COMPARISON

Meaning Coordination is the systematic Cooperation is described as the

arrangement of various elements act of working together or
of management so as to ensure conforming to standards, for
smooth functioning. achieving a common goal.

What is it? It is a part of management It is a voluntary activity.

process.

Process Contrived Natural

Communication Open Tacit

Time horizon Long term Short term

Relations Formal Informal

Activity Performed at top level Performed at each level

management

Definition of Coordination

By coordination, we mean a process, used by the management to synchronise various activities in

the organisation. It is the force that links all the other functions performed by the management, i.e.
planning, directing, organising, controlling, staffing, leading, etc. organisation, so as to make best
possible use of organisation’s resources.
Coordination plays a pivotal role in maintaining regularity in operations such as purchase,
production, sales, human resource, marketing, finance, and so forth, as it is the common thread that
connects all the activities. It is something, which is innate in all managerial functions. The process
aims at systematic management of individual or group efforts so as to ensure unanimity in action, in
the accomplishment of common objectives.

Characteristics of Coordination

 Integration of individual and group efforts.

 Ensures harmony of action.
 Pervasive and deliberate activity
 Continuous function

Definition of Cooperation

We define cooperation as a discretionary activity in which two or more persons join and work
together in the pursuit of common goals. In this process, the members of the organisation make
combined efforts, for deriving mutual benefits. So, every participant is expected to actively
participate in the group activity, only then they can be better off.

Cooperation is present in all the levels of the organisation and takes place between the members of
the organisation. Apart from business, cooperation also occurs at the national and international
level, i.e. between different states and countries of the world.

Through cooperation, the information can be shared among participants easily, which increases the
knowledge base, work performed and resources, in an adept way.

Key Differences Between Coordination and Cooperation

The following points are noteworthy so far as the difference between coordination and cooperation
is concerned:

1. The systematic arrangement and synchronisation of different elements of management so as

to ensure, smooth functioning, is known as coordination. The act of working jointly or
complying with standards, for the realisation of common goals, is called cooperation.
2. Coordination is a fundamental activity of management; that helps in attaining harmony in
action among various interdependent activities and departments of the organization. On the
contrary, cooperation depends on the will of any person, i.e. to work with or help someone
voluntarily, for accomplishing common objectives.
3. Coordination is a contrived process, performed to integrate different activities of the
organisation. Conversely, cooperation is a natural process, which is not planned in advance
but occurs spontaneously, out of mutual respect.
 4. Coordination is a continuous function of management. Hence, it is for the long term. As
against this, the cooperation of persons is required for accomplishing a task or activity, thus,
it is for short term only.
5. Coordination may result in the establishment of the formal and informal relationship. Unlike,
cooperation give rise to the informal relationship between individuals.
6. In coordination, there is open communication between all the members of the organisation.
As opposed, tacit communication takes place between individuals in cooperation.
7. Coordination of activities is performed at top level management, whereas cooperation is
performed at each level.
Conclusion

There are end number of advantages of coordination, which includes independence of activities,
synergy and specialisation. On the other hand, Cooperation associates people to work together,
which increases knowledge base, resources, reduces, time cost and efforts of individuals.

So, both the activities should go hand in hand, as cooperation without coordination is just a waste of
efforts. Likewise, coordination without cooperation will result in the dissatisfaction among
members.

Qus -5.Discuss about the Strategic Planning In The Industrial Market.

Ans-

INTRODUCTION
In under developed economies the need of entrepreneurship is been recognized as the major factor of grow
entrepreneurs increasing in an economy the growth rate is high, reduction of employment and it also helps i
Entrepreneurship serves as a catalyst of economic development of the country. It is one of the largest sectio
growth is the result of the efforts taken by the entrepreneurs. Similarly entrepreneurs can dictate the econo
many have begun to realize that for achieving the goal of economic development, it is necessary to promote
quantitatively in the country. Only active and enthusiastic entrepreneurs fully explore the potentialities of th
technology and capital.

BARRIERS FACED BY WOMEN ENTREPRENEURS

The problems and constraints experienced by women entrepreneurs have resulted in restricting and inhibite
The major barriers encountered y women entrepreneurs are displayed in the chart.

1. FINANCE
The majority of women business owners have had to rely to a significant extent on self generated finance du
loans and grants have only been used in a minority of cases and have usually been accompanied by some for
bank credit appears to increase once businesses become established and/or a good relationship with the ban
have been more forthcoming in the provision of loans once a business has begun to demonstrate a track rec
to stock new materials and spend on advertising.

Perceptions of specialist agencies of the main Problems facing women entrepreneurs

2. ADMINISTRATIVE AND REGULATORY REQUIREMENTS

Problems with administrative and/or regulatory requirements were judged to be major issues of female entr
experience problems in meeting administrative and regulatory requirements, because of the disproportiona
compared with large firms. As a consequence, it is not surprising that almost half the support organizations s
identified a problem for their clients in this respect. At the same time, with a few exceptions, administrative
female owned businesses than for male owned firms of a similar size.

3. LACK OF MANAGEMENT SKILLS OR TRAINING

Women entrepreneurs lacked management skills to a greater extent than small businesses in general, perha
previous business experience Although difficulties in accessing business advice or support appears to be a m
entrepreneurs, a significant minority of specialist organizations felt than women are particularly disadvantag
caused problems for their clients or members, with five feeling that women faced specific difficulties in this r

Some of the problems faced by women entrepreneurs are as follows:

1. Problem of Finance:
Finance is regarded as “life-blood” for any enterprise, be it big or small. However, women
entrepreneurs suffer from shortage of finance on two counts.

Firstly, women do not generally have property on their names to use them as collateral for obtaining
funds from external sources. Thus, their access to the external sources of funds is limited.

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Secondly, the banks also consider women less credit-worthy and discourage women borrowers on
the belief that they can at any time leave their business. Given such situation, women entrepreneurs
are bound to rely on their own savings, if any and loans from friends and relatives who are
expectedly meager and negligible. Thus, women enterprises fail due to the shortage of finance.

2. Scarcity of Raw Material:

Most of the women enterprises are plagued by the scarcity of raw material and necessary inputs.
Added to this are the high prices of raw material, on the one hand, and getting raw material at the
minimum of discount, on the other. The failure of many women co-operatives in 1971 engaged in
basket-making is an example how the scarcity of raw material sounds the death-knell of enterprises
run by women (Gupta and Srinivasan 2009).

3. Stiff Competition:
Women entrepreneurs do not have organizational set-up to pump in a lot of money for canvassing
and advertisement. Thus, they have to face a stiff competition for marketing their products with
both organized sector and their male counterparts. Such a competition ultimately results in the
liquidation of women enterprises.

4. Limited Mobility:
Unlike men, women mobility in India is highly limited due to various reasons. A single woman asking
for room is still looked upon suspicion. Cumbersome exercise involved in starting an enterprise
coupled with the officials humiliating attitude towards women compels them to give up idea of
starting an enterprise.

5. Family Ties:
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In India, it is mainly a women’s duty to look after the children and other members of the family.
Man plays a secondary role only. In case of married women, she has to strike a fine balance
between her business and family. Her total involvement in family leaves little or no energy and time
to devote for business.

Support and approval of husbands seem necessary condition for women’s entry into business.
Accordingly, the educational level and family background of husbands positively influence women’s
entry into business activities.
6. Lack of Education:
In India, around three-fifths (60%) of women are still illiterate. Illiteracy is the root cause of socio-
economic problems. Due to the lack of education and that too qualitative education, women are not
aware of business, technology and market knowledge. Also, lack of education causes low
achievement motivation among women. Thus, lack of education creates one type or other problems
for women in the setting up and running of business enterprises.

7. Male-Dominated Society:
Male chauvinism is still the order of the day in India. The Constitution of India speaks of equality
between sexes. But, in practice, women are looked upon as abla, i.e. weak in all respects. Women
suffer from male reservations about a women’s role, ability and capacity and are treated
accordingly. In nutshell, in the male-dominated Indian society, women are not treated equal to men.
This, in turn, serves as a barrier to women entry into business.

8. Low Risk-Bearing Ability:

Women in India lead a protected life. They are less educated and economically not self-dependent.
All these reduce their ability to bear risk involved in running an enterprise. Risk-bearing is an
essential requisite of a successful entrepreneur.

In addition to above problems, inadequate infrastructural facilities, shortage of power, high cost of
production, social attitude, low need for achievement and socioeconomic constraints also hold
the women back from entering into business.

MBA 573 (PRODUCT & BRAND MANAGEMENT)

Qus-1. What are different brand name strategies? Explain.

Ans- The four fundamentals of Master Scheduling are demand, supply, volume and mix. The primary
function of a Master Scheduler is to balance demand and supply at the aggregate volume level with
that at the detail mix level. Demand is commonly expressed as customer orders, sales forecasts,
interplant transfers, DC transfers and so on. Demand is categorized into two groups referred to as
dependent demand and independent demand. Supply is commonly expressed as the resources used
to fulfill demand like materials, manpower, machinery, capacity, storage space, time, money and so
on. Supply is categorized into three main groups identified as inventory, capacity and lead-time.
Volume refers to the question of “How Much”. Volume is usually stated in units and dollars and
includes groupings such as product families, customer orders, production resources and so on.
Volume typically deals with aggregate rates of sales & production more of a big picture view of the
business. Mix refers to the question of “Which Ones”. Mix is more often stated in units but can be
dollarized when needed. Mix usually includes things like specific products, items or customer orders
more of a detail view of the business. The common relationship of these four fundamentals are
represented in the below diagram.

Demand and supply must be balanced at both the aggregate volume and detailed mix levels. The As
stated earlier, the objective of Master Scheduling is to balance demand & supply at the aggregate
volume level with that at the detailed mix level. Capacity Planning is the primary resource used to
determine whether the Master Schedule is realistically achievable or not. As the old saying goes
“You can’t fit ten pounds of potatoes into a five pound bag”. With an effective capacity planning
process and the discipline not to change the Master Schedule for trivial reasons without full
consensus, the Master Schedule can be kept valid. It then represents a plan that is achievable and
that manufacturing can buy into.

The plant schedule, line schedule, shop floor schedule or whatever it is called in your organization is
a subset of the Master Production Schedule and is usually stated in much greater detail. This is the
schedule that is issued to the manufacturing floor for execution. It is typically expressed in hourly,
shift, daily or weekly time buckets and is logically sequenced accounting for optimization of
equipment utilization and changeovers. Work orders are typically issued with the plant schedule
that provides detail to assist in the routing thru various work centers in the plant and describe in
much greater detail the work to be accomplished.

There are two methodologies used in capacity planning which are Level Loading and Chase. Level
Loading is a method that refers to maintaining a constant repetitive rate and load across your
resources. This method is often used when demand peaks in business outstrip available capacity.
Level Loading allows manufacturing to build inventories during slow demand periods (Demand
Valleys) that are stored in inventory and later used to offset capacity constraints during peak
demand periods (Demand Peaks). This allows capacity constrained companies to meet demand
service levels but has the negative impact of building and holding inventory. On the positive side,
Level Loading allows your organization to get into a Supply Chain rhythm and stabilizes labor force
utilization (no layoffs).

There are three methodologies used in Production Planning and they are Make-To-Stock (MTS),
Make-To-Order (MTO) and Finish-To-Order (FTO). Make-To-Stock is a methodology that refers to
building product in anticipation of demand usually building to a forecast. Items are assigned as MTS
are typically higher volume repetitive bread & butter items with no risk of obsolescence. Make-To-
Order is a methodology that refers to not building product in anticipation of demand but rather
waiting for demand prior to building anything. Items assigned as MTO are typically going to be the
low volume, sporadic or intermittent items or items that may only be ordered once or twice per
year and run a high risk of obsolescence. The assumption here is that these items will cost more to
hold in inventory than the expense associated with accommodating an expedited offline process for
reacting to their demand.

need to balance these fundamentals led to the creation of a model referred to as the Resource
Planning Model (RPM). The design of the RPM was engineered to help define the relationship of the
four fundamentals to organizations internal business processes. The model needed to clearly define
which specific business processes would address these fundamentals. For example, Sales &
Operations Planning was identified as the driver of balancing demand and supply at the volume level
while Master Scheduling was identified as the driver of balancing demand and supply at the mix
level. On the demand side, Forecasting and Demand Management is the primary feed into both
Sales & Operations Planning and Master Scheduling while on the supply side Capacity Planning is the
primary feed. The RPM diagram is represented below.

Q-2. How can we criticise the PLC concept?

Ans- Operations Management, a lot of people have question marks. Comprehensive information on
this and a number of analysis-sample implementation activities conducted by the companies will be
available later in this article. I have to say that from the beginning; Of course, these are not my
experiences in these companies, but I have taken examples from various articles that I have read
and encountered on this subject. However, I have seen Operational successes and failures of many
companies, including where I currently work, even when I research them. There will also be
examples of a process to compare.

How are the various organizations and operations functions of the companies in the sector carried
out?
Operations Management

➤ What are the objectives of the operations managers?

➤ How do they set out to serve the customers?

➤ How does the operation have a strategic importance?

➤ What is Operations Management?

➤ Why is the operation management important in all organizational types?

➤ What are input-output - output processes?

➤ What is the process hierarchy?

➤ How do the operating processes have different characteristics?

➤ What are the operations of the operations management?

What is Operation Management?

Operations management is about how organisations produce their products and services.
Everything we wear, all the services we get, use, or get in the gym come under the control of
the Operation Managers who organized its production. Every book we receive from the library,
every treatment we receive at the hospital, every service we expect in the shops, and every lesson
we attend in universities, all of which are produced. People who manage their production are not
always defined as operations managers, but in fact, they are the Operation managers. In the
following sections, we will see that Operation Managersare facing a lot of problems when producing
these products and services that we are dependent on, what their tasks are and what they are
doing. And in fact, we will see that The Operation Management is everywhere, and has similar
processes yet different. So what do the Operation Manager actually? We will understand.

Operations in Practice - IKEA

Love it or hate it, IKEA is the most successful furniture retailer ever. With 277 stores in 21 countries,
he manages to develop his own style of private furniture sales. The stores’ layout means customers
often spend two hours in the store – far longer than in rival furniture retailers. Ikea's philosophy
goes back to his original work, when founded in 1950 by Ingvar Kamprad, in Switzerland. Increasing
sales soon allowed IKEA to start ordering its own self-designed products from local manufacturers.
But it was innovation in its operations that dramatically reduced its selling costs. These included the
idea of selling furniture as self-assembly flat packs (which reduced production and transport costs)
and its ‘showroom–warehouse’ concept which required customers to pick the furniture up
themselves from the warehouse (which reduced retailing costs). This whole working prescription is
still the basis of Ikea's Retail Operation processes. The stores are designed for customers to carry
their products easily, from the park area to the movements along the store, according to the
comfortable travelling flow. At the store entrance, there are big warning signs for the suggestions to
the customers. For young children, there are supervised children's play areas, a small cinema, and
controlled baby rooms where families can leave their children for a period of time. Families are
alerted by powerful sound systems in case of a problem. Ikea allows customers to make their own
decisions at their own time, as well as staff to assist in information points. On all furniture shelves,
there are signs indicating where they will be found in the vaults (help is available for larger items). In
addition, there are places where small items are shown and can be taken directly. The customers
then pass through the shop where they receive the products they see in the showroom. At the end,
they pay for the products they receive from the payment points. In the exit area, there is a service
area and a loading area where the buyers can place their car.

Behind the public face of IKEA’s huge stores is a complex worldwide network of suppliers, 1,300
direct suppliers, about 10,000 sub-suppliers, wholesale and transport operations include 26
Distribution Centres. This supply network is vitally important to IKEA. From purchasing raw
materials, right through to finished products arriving in its customers’ homes, IKEA relies on close
partnerships with its suppliers to achieve both ongoing supply efficiency and new product
development. However, IKEA closely controls all supply and development activities from IKEA’s
home town of Älmhult in Sweden.

But success brings its own problems and some customers became increasingly frustrated with
overcrowding and long waiting times. In response, IKEA in the UK launched a £150 m programme to
‘design out’ the bottlenecks. The changes included:

● Clearly marked in-store short cuts allowing customers who just want to visit one area, to avoid
having to go through all the preceding areas.

● Express checkout tills for customers with a bag only rather than a trolley.

● Extra ‘help staff’ at key points to help customers.

 ● Redesign of the car parks, making them easier to navigate.

● Dropping the ban on taking trolleys out to the car parks for loading (originally implemented to
stop vehicles being damaged).

● A new warehouse system to stop popular product lines running out during the day.

● More children’s play areas.

Ikea says that " We know people love our products but hate our shopping experience. We are being
told that by customers every day, so we can’t afford not to make changes. We realized a lot of
people took offence at being herded like sheep on the long route around stores. Now if you know
what you are looking for and just want to get in, grab it and get out, you can.’

Operations Management is an important part of Ikea's success

Ikea shows how operational management is its own success and how important it is to the success
of any organization. Of course, Ikea understands the market and the customers. But, just as
important, it knows that the way it manages the network of operations that design, produce and
deliver its products and services must be right for its market. No organization can survive in the long
term if it cannot supply its customers effectively. And this is essentially what operations
management is about – designing, producing and delivering products and services that satisfy
market requirements. For any business, it is a vitally important activity. Just some of the activities
that IKEA’s operations managers are involved in

Importance of operations management

January 3, 2018Uncategorizedadmin
Operation management is a process that involves planning, organizing, managing, controlling and
supervising the production and manufacturing processes. The major aim of an operation manager is
to ensure timely delivery of the products and to successfully turn the raw materials into the finished
products (input to output). Operations Management plays a vital role to run any project successfully.
Its benefits include:

 Operation management involves similar management for every industry or business irrespective of
their nature of the operation. Planning, organizing, staffing, monitoring controlling, directing and
motivating are its significant elements. Operation management is obligatory for organizations to
manage the daily activities seamlessly. With its help, an organization is able to make good use of its
resources like labor, raw material, money and other resources.
 Operation Management is important to improve the overall productivity. The ratio of input to output
is termed as productivity. It gives a measure of the efficiency of the manager as well as the
employees. Since the discipline focuses on using the available resources in the best possible way to
achieve end goals, so it improves the overall productivity.
 Operation management is the management of the various business activities that take place within
an organization and contributes in making the products to align with customer’s
requirements. Operation management is the heart of an organization as it controls the entire
operation If the products are made catering to the needs of the customers then, they’ll be sold at a
rapid rate.
 Under operation management, there is the optimum utilization of resources leading to enormous
profits of the organization. The efforts of the employees and the various raw materials are
efficiently utilized and converted into the services and goods required by the
organization. Operation management plays a crucial role in an organization as it handles issues like
design, operations, and maintenance of the system used for the production of goods.
 Earlier everyone believed that the operation management was not that important for the
organization, but later on, it was discovered that it is actually important for the functioning of the
organization. It was found that the manufacturing of raw materials to make the goods and selling
them along with management of sales is necessary, and this is done efficiently by managing the
operations.

Qus-3. Define brand identity and its levels.

Ans- It’s a concept where corporations can choose to merge profit-driven strategies with regulations
that ensure social investment too - whether it’s improving working conditions of employees or self-
regulating practices to ensure a cleaner environment.

In recent years, an increasing number of companies worldwide have started promoting their
Corporate Social Responsibility strategies in response to greater pressure from customers, the
public and their investors, who expect them to act sustainably as well as responsibly. The exact
definition of CSR is imprecise, however, and its application differs depending on the industry. CSR
refers not only to compliance with human rights standards, labour and social security arrangements,
but also to the fight against climate change, the sustainable management of natural resources,
consumer protection, philanthropic initiatives and volunteer projects.

Movement aimed at encouraging companies to be more aware of the impact of their business on
the rest of society, including their own stakeholders and the environment. [1]
Corporate social responsibility (CSR) is a business approach that contributes to sustainable
development by delivering economic, social and environmental benefits for all stakeholders.
CSR is a concept with many definitions and practices. The way it is understood and implemented
differs greatly for each company and country. Moreover, CSR is a very broad concept that addresses
many and various topics such as human rights, corporate governance, health and safety,
environmental effects, working conditions and contribution to economic development. Whatever
the definition is, the purpose of CSR is to drive change towards sustainability.
Although some companies may achieve remarkable efforts with unique CSR initiatives, it is difficult
to be on the forefront on all aspects of CSR. Considering this, the example below provides good
practices on one aspect of CSR – environmental sustainability.
Example
Unilever is a multinational corporation, in the food and beverage sector, with a comprehensive CSR
strategy. The company has been ranked ‘Food Industry leader’ in the Dow Jones Sustainability
World Indexes for the 11 consecutive years and ranked 7th in the ‘Global 100 Most Sustainable
Corporations in the World’.
One of the major and unique initiatives is the ‘sustainable tea’ programme. On a partnership-based
model with the Rainforest Alliance (an NGO), Unilever aims to source all of its Lipton and PG Tips tea
bags from Rainforest Alliance Certified™ farms by 2015. The Rainforest Alliance Certification offers
farms a way to differentiate their products as being socially, economically and environmentally
sustainable.

Corporate social responsibility (CSR, also called corporate sustainability, sustainable business,
corporate conscience, corporate citizenship or responsible business)[1] is a type of international
private business self-regulation.[2] While once it was possible to describe CSR as an internal
organisational policy or a corporate ethic strategy,[3] that time has passed as various international
laws have been developed and various organisations have used their authority to push it beyond
individual or even industry-wide initiatives. While it has been considered a form of corporate self-
regulation[4] for some time, over the last decade or so it has moved considerably from voluntary
decisions at the level of individual organisations, to mandatory schemes at regional, national and
even transnational levels.
Considered at the organisational level, CSR is an organisational policy. As such, it must align with and
be integrated into a business model to be successful. With some models, a firm's implementation of
CSR goes beyond compliance with regulatory requirements, and engages in "actions that appear to
further some social good, beyond the interests of the firm and that which is required by
law".[5][6] The choices of 'complying' with the law, failing to comply, and 'going beyond' are three
distinct strategic organisational choices. While in many areas such as environmental or labor
regulations, employers may choose to comply with the law, or go beyond the law, other
organisations may choose to flout the law. These organisations are taking on clear legal risks. The
nature of the legal risk, however, changes when attention is paid to soft law.[7] Soft law may incur
legal liability particularly when businesses make misleading claims about their sustainability or other
ethical credentials and practices. Overall, businesses may engage in CSR for strategic or ethical
purposes. From a strategic perspective, the aim is to increase long-term profits and shareholder
trust through positive public relations and high ethical standards to reduce business and legal risk by
taking responsibility for corporate actions. CSR strategies encourage the company to make a
positive impact on the environment and stakeholders including consumers, employees, investors,
communities, and others.[8] From an ethical perspective, some businesses will adopt CSR policies
and practices because of ethical beliefs of senior management. For example, a CEO may believe that
harming the environment is ethically objectionable.[9]
Proponents argue that corporations increase long-term profits by operating with a CSR perspective,
while critics argue that CSR distracts from businesses' economic role. A 2000 study compared
existing econometric studies of the relationship between social and financial performance,
concluding that the contradictory results of previous studies reporting positive, negative, and
neutral financial impact, were due to flawed empirical analysis and claimed when the study is
properly specified, CSR has a neutral impact on financial outcomes.[10] Critics[11][12] questioned the
"lofty" and sometimes "unrealistic expectations" in CSR.[13] or that CSR is merely window-dressing,
or an attempt to pre-empt the role of governments as a watchdog over powerful multinational
corporations. In line with this critical perspective, political and sociological institutionalists became
interested in CSR in the context of theories of globalization, neoliberalism and late capitalism. Some
institutionalists viewed CSR as a form of capitalist legitimacy and in particular point out that what
began as a social movement against uninhibited corporate power was transformed by corporations
into a 'business model' and a 'risk management' device, often with questionable results. [14]

Definition

Since the 1960s,[15] corporate social responsibility has attracted attention from a range of
businesses and stakeholders. A wide variety of definitions have been developed but with little
consensus. Part of the problem with definitions has arisen because of the different interests
represented. A business person may define CSR as a business strategy, an NGO activist may see it as
'greenwash' while a government official may see it as voluntary regulation." [2] In addition,
disagreement about the definition will arise from the disciplinary approach."[2] For example, while
an economist might consider the director's discretion necessary for CSR to be implemented a risk of
agency costs, a law academic may consider that discretion to be an appropriate expression of what
the law demands from directors.[16][17]
Corporate social responsibility has recently been defined by Sheehy as "international private
business self-regulation."[2] Sheehy examined a range of different disciplinary approaches to defining
CSR. The definitions reviewed included the economic definition of "sacrificing profits," a
management definition of "beyond compliance", institutionalist views of CSR as a "socio-political
movement" and law's own focus on directors' duties. Further, Sheehy considered Carroll's widely
used description of CSR as a pyramid of responsibilities, namely, economic, legal, ethical and
philanthropic responsibilities.[18] Importantly, while Carroll was not defining CSR but simply arguing
for classification of activities, Sheehy developed a definition differently following the philosophy of
science—the branch of philosophy used for defining phenomena.
Carroll 1991 extended corporate social responsibility from the traditional economic and legal
responsibility to ethical and philanthropic responsibility in response to the rising concerns on ethical
issues in businesses, .[19] This view is reflected in the Business Dictionary which defines CSR as "A
company's sense of responsibility towards the community and environment (both ecological and
social) in which it operates. Companies express this citizenship (1) through their waste and pollution
reduction processes, (2) by contributing educational and social programs and (3) by earning
adequate returns on the employed resources
Consumer perspectives

“ Businesses have changed when the public

came to expect and require different behavior
[...] I predict that in the future, just as in the
past, changes in public attitudes will be
essential for changes in businesses'
environmental practices. ”

— Jared Diamond, "Big businesses and the

environment"[21]
Most consumers agree that while achieving business targets, companies should engage in CSR
efforts at the same time.[22] Most consumers believe companies doing charity work will receive a
positive response.[23] Somerville also found that consumers are loyal and willing to spend more on
retailers that support charity. Consumers also believe that retailers selling local products will gain
loyalty.[24] Smith (2013)[25] shares the belief that marketing local products will gain consumer trust.
However, environmental efforts are receiving negative views given the belief that this would affect
customer service.[24] Oppewal et al. (2006) found that not all CSR activities are attractive to
consumers.[26] They recommended that retailers focus on one activity.[27] Becker-Olsen
(2006)[28] found that if the social initiative done by the company is not aligned with other company
goals it will have a negative impact. Mohr et al. (2001)[29] and Groza et al. (2011)[30] also emphasise
the importance of reaching the consumer.

Implementation

CSR may be based within the human resources, business development or public
relations departments of an organisation,[46] or may be a separate unit reporting to the CEO or
the board of directors.
Engagement plan
An engagement plan can assist in reaching a desired audience. A corporate social responsibility
individual or team plans the goals and objectives of the organization. As with any corporate activity,
a defined budget demonstrates commitment and scales the program's relative importance.
Accounting, auditing and reporting
Social accounting is the communication of social and environmental effects of a company's
economic actions to particular interest groups within society and to society at large. [47]
Social accounting emphasizes the notion of corporate accountability. Crowther defines social
accounting as "an approach to reporting a firm's activities which stresses the need for the
identification of socially relevant behavior, the determination of those to whom the company is
accountable for its social performance and the development of appropriate measures and reporting
techniques."[48] Reporting guidelines and standards serve as frameworks for social accounting,
auditing and reporting:
 AccountAbility's AA1000 standard, based on John Elkington's triple bottom line (3BL) reporting
 The Prince's Accounting for Sustainability Project's Connected Reporting Framework[49]
 The Fair Labor Association conducts audits based on its Workplace Code of Conduct and posts
audit results on the FLA website.
 The Fair Wear Foundation verifies labour conditions in companies' supply chains, using
interdisciplinary auditing teams.
 Global Reporting Initiative's Sustainability Reporting Guidelines
 Economy for the Common Good's Common Good Balance Sheet[50]
 GoodCorporation's standard[51] developed in association with the Institute of Business Ethics
 Synergy Codethic 26000[52] Social Responsibility and Sustainability Commitment Management
System (SRSCMS) Requirements—Ethical Business Best Practices of Organizations—the
necessary management system elements to obtain a certifiable ethical commitment
management system. The standard scheme has been build around ISO 26000 and UNCTAD
Guidance on Good Practices in Corporate Governance. The standard is applicable by any type of
organization.;
 Earthcheck Certification / Standard
 Social Accountability International's SA8000 standard
 Standard Ethics Aei guidelines
 The ISO 14000 environmental management standard
 The United Nations Global Compact requires companies to communicate on their progress[53] (or
to produce a Communication on Progress, COP), and to describe the company's implementation
of the Compact's ten universal principles.[54]
 The United Nations Intergovernmental Working Group of Experts on International Standards of
Accounting and Reporting (ISAR) provides voluntary technical guidance on eco-efficiency
indicators,[55] corporate responsibility reporting,[56] and corporate governance disclosure.[57]
 The FTSE Group publishes the FTSE4Good Index, an evaluation of CSR performance of
companies.
 EthicalQuote (CEQ) tracks reputation of the world's largest companies on Environmental, Social,
Governance (ESG), Corporate Social Responsibility, ethics and sustainability.
 The Islamic Reporting Initiative (IRI) is a not-for-profit organization which leads the creation of
the IRI framework; the guiding integrated CSR reporting framework based on Islamic principles
and values.[58]
In nations such as France, legal requirements for social accounting, auditing and reporting exist,
though international or national agreement on meaningful measurements of social and
environmental performance has not been achieved. Many companies produce externally audited
annual reports that cover Sustainable Development and CSR issues ("Triple Bottom Line Reports"),
but the reports vary widely in format, style, and evaluation methodology (even within the same
industry). Critics dismiss these reports as lip service, citing examples such as Enron's yearly
"Corporate Responsibility Annual Report" and tobacco companies' social reports.
In South Africa, as of June 2010, all companies listed on the Johannesburg Stock Exchange (JSE)
were required to produce an integrated report in place of an annual financial report and
sustainability report.[59] An integrated report reviews environmental, social and economic
performance alongside financial performance. This requirement was implemented in the absence of
formal or legal standards. An Integrated Reporting Committee (IRC) was established to issue
guidelines for good practice.
One of the reputable institutions that capital markets turn to for credible sustainability reports is
the Carbon Disclosure Project,
Verification
Corporate social responsibility and its resulting reports and efforts should be verified by the
consumer of the goods and services.[61] The accounting, auditing and reporting resources provide a
foundation for consumers to verify that their products are socially sustainable. Due to an increased
awareness of the need for CSR, many industries have their own verification resources. [62] The
include organizations like the Forest Stewardship Council (paper and forest products), International
Cocoa Initiative, and Kimberly Process(diamonds). The United Nations also provides frameworks not
only for verification, but for reporting of human rights violations in corporate supply chains.
Ethics training
The rise of ethics training inside corporations, some of it required by government regulation, has
helped CSR to spread. The aim of such training is to help employees make ethical decisions when
the answers are unclear.[63] The most direct benefit is reducing the likelihood of "dirty
hands",[64] fines and damaged reputations for breaching laws or moral norms. Organizations see
increased employee loyalty and pride in the organization.[65]
Common actions
Common CSR actions include:[66]

 Environmental sustainability: recycling, waste management, water management, renewable

energy, reusable materials, 'greener' supply chains, reducing paper use and adopting Leadership
in Energy and Environmental Design (LEED) building standards.[67][68][69]
 Community involvement: This can include raising money for local charities, providing volunteers,
sponsoring local events, employing local workers, supporting local economic growth, engaging in
fair trade practices, etc.[70][71]
 Ethical marketing: Companies that ethically market to consumers are placing a higher value on
their customers and respecting them as people who are ends in themselves. They do not try to
manipulate or falsely advertise to potential consumers. This is important for companies that
want to be viewed as ethical.
Social license to operater
Social License to Operate can be determined as a contractual grounds for the legitimacy of activities
and projects company is involved in.[72] It refers to the level of support and approval of a company’s
activities by its stakeholders.[73] Displaying commitment to CSR is one way to achieve social license,
by enhancing a company's reputation.[74]
As stated in Enduring value: the Australian minerals industry framework for sustainable
development the concept of the 'social license to operate', then defined simply as obtaining and
maintaining broad community support and acceptance. Unless a company earns and maintains that
license social license holders may intend to block project developments; employees may leave the
company for a company that is a better corporate citizen: and companies may be under ongoing
legal challenge.[75]
In research of Requisite Organization Dr Elliott Jaques defines Social License to Operate for the
company as the social contract the company has with the social license holders (employees, trade
unions, communities, government) for them to manifest positive intention to support the business
short- and long-term objectives by “providing managerial leadership that nurtures the social good
and also gives the foundation for sustainable growth in organizational results.” [76]
The primary objective for the companies is to obtain and maintain the Social License to Operate.
Based on the Requisite Organization research of Dr. Elliott Jaques to achieve this goal a company
needs to:

 Identify the business strategy and business objectives

 Identify the social license holders (employees of a company, labour unions, local and national
governments, communities, activist groups, etc.) for every business objectives
 Identify the support that the company desires to achieve from the social license holders by
specifying for every business objective social license elements (target of support, context of
support, time of support, action of support)
 Quantitatively measure the intention (positive or negative) of the social license holders to
support the business objectives
 Identify the factors that negatively impact the intention of the social license holders to support
the business objectives (strength of their belief in support, their evaluation of support
outcomes, pressure to provide support, enablers / disablers of support, etc.)

Qus-4. What is branding? Explain its terminology in Indian context.

Ans- Work sampling is the statistical technique for determining the proportion of time spent by
workers in various defined categories of activity (e.g. setting up a machine, assembling two parts,
idle…etc.).[1] It is as important as all other statistical techniques because it permits quick analysis,
recognition, and enhancement of job responsibilities, tasks, performance competencies, and
organizational work flows. Other names used for it are 'activity sampling', 'occurrence sampling',
and 'ratio delay study'.[2]

 Another characteristic is multiple workers. Work sampling is commonly used to study the
activities of multiple workers rather than one worker.
 The third characteristic is long cycle time. The job covered in the study has relatively a long cycle
time.
 The last condition is the non-repetitive work cycles. The work is not highly repetitive. The jobs
consist of various tasks rather than a single repetitive task. However, it must be possible to
classify the work activities into a distinct number of categories.
 Work Sampling: Definition, Theory and Confidence Level of Work Sampling!
 “Work sampling is a method in which a large number of instantaneous observations are
made at random time intervals over a period of time or a group of machines, workers or
processes/operations. Each observation records what is happening at that instant and the
percentage of observations recorded for a particular activity or delay/idleness is a measure of
the percentage of time during which that activity or delay/idleness occurs”.

 Work sampling has a long and impressive list of applications but all of them fall into one of the
following three categories:
 ADVERTISEMENTS:

 (i) Work sampling can be used as ratio study of working and idle times.

 (ii) It can be utilized as performance sampling study in which working and idleness on working
times are measured and a performance index is prepared.

 (iii) It can be used as a work measurement technique.

 Theory of Work Sampling:

 It states that the percentage of observations recorded on an operation/ process in any state
is a reliable estimate of the percentage time the operation/ process is in that state, provided,
“sufficient number of observations are taken at random”.

 ADVERTISEMENTS:

 It may be noted that here, particular stress should be paid on the words “random” and
“sufficient number of observations”. In this technique, some error may occur but the
magnitude of error tends to decrease as the number of samples increases.

 Work sampling is a sampling method and depends upon the laws of probability. A sample
taken at random from a large population provides a good estimate of the distribution of the
population. To make it clearer, let us consider the following example.
  A worker while working during his shift either does the job assigned to him or remains idle
for one or the other reason. The following table shows that out of total 50 observations,
there were 45 working observations and five idle observations.

State of worker No of observations

Working 45

Idle 5

 ADVERTISEMENTS:

 This table indicates the working time and idle time.

 In this Example, the idle time percentage would be 5/50 x 100 = 10%

 Working time would be 45/50 x 100 = 90%

 This investigation is for one worker for a shift of 8 hours a day and indicates that the operator
was idle for 10% or 48 minutes in a shift of 8 hours (480 minutes) while working for 90% or
432 minutes in one shift.

 Confidence Levels:
 The results obtained by work sampling technique differ considerably from the results actually
achieved by continuous recording of time. The accuracy of result depends upon the number
or observations and the limits of confidence level because the sampling procedure used
involves certain degree of error. So it is important to decide, what level of confidence is
desired the final “Work Sampling” results.

 During a investigation, if we increase the number of observations considerably and in each

observation then number of activities are large we can obtain a smoother curve called
normal distribution curve as shown in Fig. 7.1.
 

 The most common confidence level is 95%. The area under the curve at 2 sigma or two
standard deviations is 95.45% which is rounded off gives 95% This indicates that the
probability is 95% of the time the random, observations will be true or represents the fact
and 5% of the time false or will not. For majority of cases, an accuracy of 5% is considered
satisfactory. This is usually referred to as the percentage standard error.

 Sample Size Determination. To obtain a desired accuracy level an analyst is required to take
sufficient number of observations. Following formula may be used for finding the requisite
number of observation in order to achieve the desired accuracy:

 Limit of error = Sp
 Where x =1, 2 or 3 for confidence level of 68%, 95% and 99% or one sigma, two sigma three
sigma confidence levels respectively.

Qus -5. How can a company launch a new product? Explain with the help of
suitable example.
Ans- Correlation is a statistical measure that indicates the extent to which two or
more variablesfluctuate together. A positive correlation indicates the extent to which those
variables increase or decrease in parallel; a negative correlation indicates the extent to which one
variable increases as the other decreases.
A correlation coefficient is a statistical measure of the degree to which changes to the value of one
variable predict change to the value of another. When the fluctuation of one variable reliably
predicts a similar fluctuation in another variable, there’s often a tendency to think that means that
the change in one causes the change in the other. However, correlation does not imply causation.
There may be, for example, an unknown factor that influences both variables similarly.

Here’s one example: A number of studies report a positive correlation between the amount of
television children watch and the likelihood that they will become bullies. Media coverage often
cites such studies to suggest that watching a lot of television causes children to become bullies.
However, the studies only report a correlation, not causation. It is likely that some other factor –
such as a lack of parental supervision – may be the influential factor.

A correlation coefficient is a statistical measure of the degree to which changes to the value of one
variable predict change to the value of another. In positively correlated variables, the value
increases or decreases in tandem. In negatively correlated variables, the value of one increases as
the value of the other decrease.

Decoding the Correlation Coefficient

Rachel is conducting research for her psychology class. She is observing the attendance patterns of
students in freshman general education classes. She has recorded the number of absences among
five students, the number of classes they are taking, average absence per class, total absences
across all classes and the average number of assignments given in each class. Her professor wants
her to find a correlation among these variables using the correlation coefficient. Rachel takes a look
at the equation:

Wow, this is an intimidating equation! Rachael has no idea where she wants to begin with this
problem. Don't worry! In this lesson, you will learn about the correlation coefficient and how to use
it to find correlations in Rachael's research.
Defining Correlation Coefficient
You probably know that a correlation is the relationship between two sets of variables used to
describe or predict information. Therefore, the correlation coefficient is the degree in which the
change in a set of variables is related. This means that we are trying to find out if the two variables
have a correlation at all, how strong the correlation is and if the correlation is positive or negative.
Check out our other lessons for more information about positive and negative correlations!
To find the exact correlation between variables, you will need to use the correlation coefficient
equation. When solved, the correlation coefficient equation will give you a number between -1 and
1. The closer the number is to positive one, the stronger the positive correlation. The closer the
number is to negative one, the stronger the negative correlation. And the closer the number is to
zero, the weaker the correlation. Zero means there is no correlation between the variables. Let's
break this equation down so that it is easier to understand.

Using Correlation Coefficient, Numerator

Above is the correlation coefficient equation, also known as the Pearson r. Let's break down each
part of the equation to make it more manageable. Remember, the data Rachael has collected is in
the form of two variables: x and y. This will be important to remember as we use the correlation
coefficient equation.
For now, let's just focus on the top part of this equation. The first thing you see in this equation is n,
which means the number of ordered pairs. Let's look at the data that Rachel collected:

MBA 574 (MARKETING RESEARCH)

Qus-1. Describe about Survey fieldwork and data collection methods.

Ans- Management by Objectives (MBO) is a personnel management technique where managers and
employees work together to set, record and monitor goals for a specific period of time.
Organizational goals and planning flow top-down through the organization and are translated into
personal goals for organizational members. The technique was first championed by management
expert Peter Drucker and became commonly used in the 1960s.

Key Concepts
The core concept of MBO is planning, which means that an organization and its members are not
merely reacting to events and problems but are instead being proactive. MBO requires that
employees set measurable personal goals based upon the organizational goals. For example, a goal
for a civil engineer may be to complete the infrastructure of a housing division within the next
twelve months. The personal goal aligns with the organizational goal of completing the subdivision.
MBO is a supervised and managed activity so that all of the individual goals can be coordinated to
work towards the overall organizational goal. You can think of an individual personal goal as one
piece of a puzzle that must fit together with all of the other pieces to form the complete puzzle: the
organizational goal. Goals are set down in writing annually and are continually monitored by
managers to check progress. Rewards are based upon goal achievement.

Management by objectives (MBO), also known as management by results (MBR), was first
popularized by Peter Drucker in his 1954 book The Practice of Management.[1]Management by
objectives is the process of defining specific objectives within an organization that management can
convey to organization members, then deciding on how to achieve each objective in sequence. This
process allows managers to take work that needs to be done one step at a time to allow for a calm,
yet productive work environment. This process also helps organization members to see their
accomplishments as they achieve each objective, which reinforces a positive work environment and
a sense of achievement.[2]An important part of MBO is the measurement and comparison of
an employee's actual performance with the standards set. Ideally, when employees themselves
have been involved with the goal-setting and choosing the course of action to be followed by them,
they are more likely to fulfill their responsibilities.[3] According to George S. Odiorne[citation needed], the
system of management by objectives can be described as a process whereby the superior and
subordinate jointly identify common goals, define each individual's major areas of responsibility in
terms of the results expected of him or her, and use these measures as guides for operating the unit
and assessing the contribution of each of its members.

Concept and framework

Management by objectives at its core is the process of employers/supervisors attempting to
manage their subordinates by introducing a set of specific goals that both the employee and the
company strive to achieve in the near future, and working to meet those goals accordingly. [1]
Five steps:

1. Review organizational goal

2. Set worker objective
3. Monitor progress
4. Evaluation
5. Give reward

Features and advantages[edit]

The principle of MBO is for employees to have a clear understanding of their roles and the
responsibilities expected of them, so they can understand how their activities relate to the
achievement of the organization's goals. MBO also places importance on fulfilling the personal goals
of each employee.
Proponents argue that benefits of MBO include:

1. Motivation – Involving employees in the whole process of goal setting and increasing
employee empowerment. This increases employee job satisfaction and commitment.
 2. Better communication and coordination – Frequent reviews and interactions between
superiors and subordinates help to maintain harmonious relationships within the
organization and also to solve problems.
3. Clarity of goals.
4. Subordinates tend to have a higher commitment to objectives they set for themselves than
those imposed on them by another person.
5. Managers can ensure that objectives of the subordinates are linked to the organization's
objectives.
6. Common goal for whole organization means it is a unifying, directive principle of
management.

Application in practice[edit]
There are endless ways to exercise management by objectives. One must simply find specific goals
to aim for in an organization or business. Many noteworthy companies have used MBO. The
management at the computer company Hewlett-Packard (HP), has said that it considers the policy a
huge component of its success. Many other corporations praise the effectiveness of MBO,
including Xerox, DuPont, Intel,[8] and countless others.[9] Companies that use MBO often report
greater sales rates and productiveness within the organization. Objectives can be set in all domains
of activities, such as production, marketing, services, sales, R&D, human resources, finance, and
information systems. Some objectives are collective, and some can be goals for each individual
worker. Both make the task at hand seem attainable and enable the workers to visualize what needs
to be done and how.
In the MBO paradigm, managers determine the mission and the strategic goals of the enterprise.
The goals set by top-level managers are based on an analysis of what can and should be
accomplished by the organization within a specific period of time. The functions of these managers
can be centralised by appointing a project manager who can monitor and control activities of the
various departments.[10] If this cannot be done or is not desirable, each manager's contributions to
the organizational goal should be clearly spelled out.[11]
Objectives need quantifying and monitoring. Reliable management information systems are needed
to establish relevant objectives and monitor their "reach ratio" in an objective
way.[12] Pay incentives (bonuses) are often linked to results in reaching the objectives.
The mnemonic S.M.A.R.T. is associated with the process of setting objectives in this paradigm.
"SMART" objectives are:

 Specific - Target a specific area for improvement.

 Measurable - Quantify or suggest an indicator of progress.
 Assignable - Specify who will do it.
 Realistic - State what results can realistically be achieved, given available resources.
 Time-Related - Specify when the result(s) can be achieved.[13]
The aphorism "what gets measured gets done", is aligned with the MBO philosophy.
Arguments against[edit]
MBO has its detractors and attention notably among them W. Edwards Deming, who argued that a
lack of understanding of systems commonly results in the misapplication of
objectives.[14] Additionally, Deming stated that setting production targets will encourage workers to
meet those targets through whatever means necessary, which usually results in poor quality. [15]
Point 7 of Deming's key principles encourages managers to abandon objectives in favour of
leadership because he felt that a leader with an understanding of systems was more likely to guide
workers to an appropriate solution than the incentive of an objective. Deming also pointed out that
Drucker warned managers that a systemic view was required[16] and felt that Drucker's warning
went largely unheeded by the practitioners of MBO.
There are several limitations to the assumptive base underlying the impact of managing by
objectives,[citation needed] including:

1. It over-emphasizes the setting of goals over the working of a plan as a driver of outcomes.
2. It under-emphasizes the importance of the environment or context in which the goals are
set.
That context includes everything from the availability and quality of resources, to relative buy-in by
leadership and stake-holders. As an example of the influence of management buy-in as a contextual
influencer, in a 1991 comprehensive review of thirty years of research on the impact of
Management by Objectives, Robert Rodgers and John Hunter concluded that companies whose
CEOs demonstrated high commitment to MBO showed, on average, a 56% gain in productivity.
Companies with CEOs who showed low commitment only saw a 6% gain in productivity. [citation needed]
When this approach is not properly set, agreed and managed by organizations, self-centered
employees might be prone to distort results, falsely representing achievement of targets that were
set in a short-term, narrow fashion. In this case, managing by objectives would be
counterproductive.

Recent research[edit]
Management by Objectives is still practiced today, with a focus on planning and development aiding
various organizations.[17] The most recent research focuses on specific industries, specifying the
practice of MBO for each.[18][19] In addition, following criticism of the original MBO approach, a new
formula was introduced in 2016, aiming at revitalizing it, that is the OPTIMAL MBO,

Qus-2. Discuss about Classification and Differences between Research Designs?

Ans- Functions of Personnel Management: 1. Managerial Functions 2. Operative Functions!

1. Managerial Functions:
The Managerial functions of a personnel manager involve POSDCORB (Luther Gullick) i.e., Planning,
organisation, staffing, directing, coordinating, reporting and budgeting of those who actually
perform the operative functions of the Personnel Department.

ADVERTISEMENTS:

The following are the managerial functions (viz. planning, organising, directing and controlling)
performed by a personnel department:
A. Personnel Planning:
Planning lays down a pre-determined course to do something such as what to do, how to do, where
to do, who is to do etc. A personnel manager plans in advance the trend in wages, labour market,
union demands etc. Through planning, most of the future problems can be anticipated.

B. Organising:
According to J.C. Massic, “An organisation is a structure, a framework and a process by which a co-
operative group of human being allocates its task among its members, identifies relationships and
integrates its activities towards common objectives.” The personnel manager has to design the
structure of relationships among jobs, personnel and physical factors so that the objectives of the
enterprise are achieved.

C .Directing:
ADVERTISEMENTS:

This function relates to guidance and stimulation of the subordinates at all levels. The personnel
manager directs and motivates the employees of his department so that they work willingly and
effectively for the achievement of organisational goals,

D. Controlling:
A personnel manager has to constantly watch whether there is any deviation from the planned
path. Controlling is concerned with remedial actions. Continuous monitoring of the personnel
policies relating to training, labour turnover, wage payments, interviewing new and separated
employees etc., is the backbone of controlling.
If deviations are unavoidable, corrective action can be planned in advance. Controlling helps the
personnel manager to evaluate the performance of employees of the personnel department so far
as the operating functions are concerned.

2. Operative Functions:
The operative functions of the Personnel Department are also called service functions. These
include.

(a) Procurement function

(b) Development

(c) Promotion, transfer and termination function

(d) Compensation function

(e) Welfare function

Human Resource Management is a function within an organization which focuses mainly on the
recruitment of, management of, and providing guidelines to the manpower in a company. It is a
function of the company or organization which deals with concerns that are related to the staff of
the company in terms of hiring, compensation, performance, safety, wellness, benefits, motivation
and training.

Human Resource Management is also a premeditated approach to manage people and the work
culture. An efficient human resource management enables the workforce of an organization to
contribute efficiently and effectively towards the overall achievement of a company’s goals and
objectives.

The traditional method of human resource management involved planned exploitation of staffs. This
new function of human resource management involves HRM Metrics and measurements and
strategic direction to display value. Under the influence of giving away the traditional method, HRM
has got a new terminology called Talent Management.

Human Resource Management functions can be of three types like Operative, Managerial, and
advisory. Let’s see them one by one.
Q-3. What are the Significance of questionnaire building?
Ans- Scientific management is a theory of management that analyzes and synthesizes workflows. Its
main objective is improving economic efficiency, especially labour productivity. It was one of the
earliest attempts to apply science to the engineering of processes and to management. Scientific
management is sometimes known as Taylorism after its founder, Frederick Winslow Taylor.[1]
Taylor began the theory's development in the United States during the 1880s and '90s
within manufacturing industries, especially steel. Its peak of influence came in the 1910s;[2] Taylor
died in 1915 and by the 1920s, scientific management was still influential but had entered
into competition and syncretism with opposing or complementary ideas.
Although scientific management as a distinct theory or school of thought was obsolete by the
1930s, most of its themes are still important parts of industrial engineering and management today.
These include: analysis; synthesis; logic; rationality; empiricism; work ethic; efficiency
and elimination of waste; standardization of best practices; disdain for tradition preserved merely
for its own sake or to protect the social status of particular workers with particular skill sets; the
transformation of craft production into mass production; and knowledge transferbetween workers
and from workers into tools, processes, and documentation.

The fundamental principles that Taylor saw underlying the scientific approach to management may
be summarized as follows:

1. Replace rule-of-thumb work methods with methods based on a scientific study of the tasks.

2. Scientifically select, train, and develop each worker rather than passively leaving them to train
themselves.

3. Cooperate with the workers to ensure that the scientifically developed methods are being
followed.

4. Divide work nearly equally between managers and workers, so that the managers apply scientific
management principles to planning the work and the workers actually perform the tasks.

Taylor concentrated more on productivity and productivity based wages. He stressed on time and
motion study and other techniques for measuring work. Apart from this, in Taylor’s work, there also
runs a strongly humanistic theme. He had an idealist’s notion that the interests of workers,
managers and owners should be harmonized.

Taylor's own names for his approach initially included "shop management" and "process
management". However, "scientific management" came to national attention in 1910 when
crusading attorney Louis Brandeis (then not yet Supreme Court justice) popularized the
term.[3] Brandeis had sought a consensus term for the approach with the help of practitioners
like Henry L. Gantt and Frank B. Gilbreth. Brandeis then used the consensus of "scientific
management" when he argued before the Interstate Commerce Commission (ICC) that a proposed
increase in railroad rates was unnecessary despite an increase in labor costs; he alleged scientific
management would overcome railroad inefficiencies (The ICC ruled against the rate increase, but
also dismissed as insufficiently substantiated that concept the railroads were necessarily inefficient.)
Taylor recognized the nationally-known term "scientific management" as another good name for
the concept, and adopted it in the title of his influential 1911 monograph.

History[edit]
The Midvale Steel Company, "one of America's great armor plate making plants," was the birthplace
of scientific management. In 1877, at age 22, Frederick W. Taylor started as a clerk in Midvale, but
advanced to foreman in 1880. As foreman, Taylor was "constantly impressed by the failure of his
[team members] to produce more than about one-third of [what he deemed] a good day's
work."[4] Taylor determined to discover, by scientific methods, how long it should take men to
perform each given piece of work; and it was in the fall of 1882 that he started to put the first
features of scientific management into operation.[5]
Horace Bookwalter Drury, in his 1918 work, Scientific management: A History and Criticism,
identified seven other leaders in the movement, most of whom learned of and extended scientific
management from Taylor's efforts[6]:

 Henry L. Gantt (1861–1919)

 Carl G. Barth (1860–1939)
 Horace K. Hathaway (1878–1944)
 Morris L. Cooke (1872–1960)
 Sanford E. Thompson (1867–1949)
 Frank B. Gilbreth (1868–1924). Gilbreth's independent work on "motion study" is on record as
early as 1885; after meeting Taylor in 1906 and being introduced to scientific management,
Gilbert devoted his efforts to introducing scientific management into factories. Gilbreth and his
wife Dr Lillian Moller Gilbreth (1878–1972) performed micro-motion studies using stop-motion
cameras as well as developing the profession of industrial/organizational psychology.
 Harrington Emerson (1853–1931) began determining what industrial plants' products and costs
were compared to what they ought to be in 1895. Emerson did not meet Taylor until December
1900, and the two never worked together.
Emerson's testimony in late 1910 to the Interstate Commerce Commission brought the movement
to national attention[7] and instigated serious opposition. Emerson contended the railroads might
save $1,000,000 a day by paying greater attention to efficiency of operation. By January 1911, a
leading railroad journal began a series of articles denying they were inefficiently managed.[8]
When steps were taken to introduce scientific management at the government-owned Rock Island
Arsenal in early 1911, it was opposed by Samuel Gompers, founder and President of the American
Federation of Labor (an alliance of craft unions). When a subsequent attempt was made to
introduce the bonus system into the government's Watertown Arsenalfoundry during the summer
of 1911, the entire force walked out for a few days. Congressional investigations followed, resulting
in a ban on the use of time studies and pay premiums in Government service.
Taylor's death in 1915 at age 59[9] left the movement without its original leader. In management
literature today, the term "scientific management" mostly refers to the work of Taylor and his
disciples ("classical", implying "no longer current, but still respected for its seminal value") in
contrast to newer, improved iterations of efficiency-seeking methods. Today, task-oriented
optimization of work tasks is nearly ubiquitous in industry.

Pursuit of economic efficiency[edit]

Flourishing in the late 19th and early 20th century, scientific management built on earlier pursuits
of economic efficiency. While it was prefigured in the folk wisdom of thrift, it favored empirical
methods to determine efficient procedures rather than perpetuating established traditions. Thus it
was followed by a profusion of successors in applied science, including time and motion study,
the Efficiency Movement (which was a broader cultural echo of scientific management's impact on
business managers specifically), Fordism, operations management, operations research, industrial
engineering, management science, manufacturing engineering, logistics, business process
management, business process reengineering, lean manufacturing, and Six Sigma. There is a fluid
continuum linking scientific management with the later fields, and the different approaches often
display a high degree of compatibility.
Taylor rejected the notion, which was universal in his day and still held today, that the trades,
including manufacturing, were resistant to analysis and could only be performed by craft
production methods. In the course of his empirical studies, Taylor examined various kinds of manual
labor. For example, most bulk materials handling was manual at the time; material handling
equipment as we know it today was mostly not developed yet. He looked at shoveling in the
unloading of railroad cars full of ore; lifting and carrying in the moving of iron pigs at steel mills; the
manual inspection of bearing balls; and others. He discovered many concepts that were not widely
accepted at the time. For example, by observing workers, he decided that labor should include rest
breaks so that the worker has time to recover from fatigue, either physical (as in shoveling or lifting)
or mental (as in the ball inspection case). Workers were allowed to take more rests during work, and
productivity increased as a result.[10]
Subsequent forms of scientific management were articulated by Taylor's disciples, such as Henry
Gantt; other engineers and managers, such as Benjamin S. Graham; and other theorists, such
as Max Weber. Taylor's work also contrasts with other efforts, including those of Henri Fayol and
those of Frank Gilbreth, Sr. and Lillian Moller Gilbreth (whose views originally shared much with
Taylor's but later diverged in response to Taylorism's inadequate handling of human relations).
Soldiering[edit]
Scientific management requires a high level of managerial control over employee work practices
and entails a higher ratio of managerial workers to laborers than previous management methods.
Such detail-oriented management may cause friction between workers and managers.
Taylor observed that some workers were more talented than others, and that even smart ones were
often unmotivated. He observed that most workers who are forced to perform repetitive tasks tend
to work at the slowest rate that goes unpunished. This slow rate of work has been observed in many
industries and many countries[11] and has been called by various terms.[11][11][12] Taylor used the term
"soldiering",[11][13] a term that reflects the way conscripts may approach following orders, and
observed that, when paid the same amount, workers will tend to do the amount of work that the
slowest among them does.[14] Taylor describes soldiering as "the greatest evil with which the
working-people ... are now afflicted."[10]
This reflects the idea that workers have a vested interest in their own well-being, and do not benefit
from working above the defined rate of work when it will not increase their remuneration. He
therefore proposed that the work practice that had been developed in most work environments
was crafted, intentionally or unintentionally, to be very inefficient in its execution. He posited that
time and motion studies combined with rational analysis and synthesis could uncover one best
method for performing any particular task, and that prevailing methods were seldom equal to these
best methods. Crucially, Taylor himself prominently acknowledged that if each employee's
compensation was linked to their output, their productivity would go up.[14] Thus his compensation
plans usually included piece rates. In contrast, some later adopters of time and motion studies
ignored this aspect and tried to get large productivity gains while passing little or no compensation
gains to the workforce, which contributed to resentment against the system.

Qus - 4. Describe Classification of sampling techniques.

Ans- The following are the characteristics of good personnel policy:

1. A personnel policy is framed by the Board of Directors and it should be definite, positive, clear
and easily understandable.

ADVERTISEMENTS:

2. A personnel policy must fit into the overall business policies.

3. Like other policies, a personnel policy also acts as a guide for decision making. If the objective of
an organisation is to develop the competent and contented employees, certain guidelines may be
laid down by the management called as policies.

4. A personnel policy should provide stability, consistency and a framework to an organisation.

ADVERTISEMENTS:

5. It must try to achieve the objectives of an enterprise.

6. It should be written, uniform and progressive.

7. A personnel policy must take into consideration the changing aspirations and managerial styles.

8. It should not be rigid and the management should periodically review it. Thus, the policy should
be clear, unambiguous and flexible.

9. It must fulfil the desire of workers for recognition as groups in order to deal with management.

10. It should provide for two way communication and encourage co-operation among employees. It
should be framed in consultation with the trade unions.

11. It should be written in the manuals and must be communicated to every employee of the
organisation.

12. It must assure justice to the workers.

13. It should be framed keeping in mind that each individual is different from another i.e., there are
individual differences among the employees

Management (or managing) is the administration of an organization, whether it is a business, a not-

for-profit organization, or government body. Management includes the activities of setting
the strategy of an organization and coordinating the efforts of its employees (or of volunteers) to
accomplish its objectives through the application of available resources, such
as financial, natural, technological, and human resources.[1] The term "management" may also refer
to those people who manage an organization.
Social scientists study management as an academic discipline, investigating areas such as social
organization and organizational leadership.[2]Some people study management at colleges or
universities; major degrees in management include the Bachelor of Commerce (B.Com.) and Master
of Business Administration (MBA.) and, for the public sector, the Master of Public
Administration (MPA) degree. Individuals who aim to become management specialists or experts,
management researchers, or professors may complete the Doctor of Management (DM), the Doctor
of Business Administration (DBA), or the PhD in Business Administration or Management.
 Larger organizations generally have three levels of managers, which are typically organized[by
whom?]
in a hierarchical, pyramid structure:

 Senior managers, such as members of a Board of Directors and a Chief Executive Officer (CEO) or
a President of an organization. They set the strategic goals of the organization and make
decisions on how the overall organization will operate. Senior managers are generally executive-
level professionals, and provide direction to middle management who directly or indirectly
report to them.
 Middle managers, examples of which would include branch managers, regional managers,
department managers and section managers, provide direction to front-line managers. Middle
managers communicate the strategic goals of senior management to the front-line managers.
 Lower managers, such as supervisors and front-line team leaders, oversee the work of regular
employees (or volunteers, in some voluntary organizations) and provide direction on their work.
In smaller organizations, an individual manager may have a much wider scope. A single manager
may perform several roles or even all of the roles commonly observed in a large organization.

Contents

 1Definitions
o 1.1Theoretical scope
 2Nature of work
 3History
o 3.1Etymology
o 3.2Early writing
o 3.319th century
o 3.420th century
o 3.521st century
 4Topics
o 4.1Basics
o 4.2Basic roles
o 4.3Skills
o 4.4Implementation of policies and strategies
 5Policies and strategies in the planning process
 6Levels
o 6.1Top
o 6.2Middle
o 6.3Lower
 7Training
o 7.1United States of America
 7.1.1Undergraduate
 7.1.2Graduate
 7.2Good practices
o
 8See also
 9References
 10External links

Definitions[edit]
Views on the definition and scope of management include:

 According to Henri Fayol, "to manage is to forecast and to plan, to organise, to command, to co-
ordinate and to control."[3]
 Fredmund Malik defines it as "the transformation of resources into utility."
 Management included as one of the factors of production – along with machines, materials and
money.
 Ghislain Deslandes defines it as “a vulnerable force, under pressure to achieve results and
endowed with the triple power of constraint, imitation and imagination, operating on subjective,
interpersonal, institutional and environmental levels”.[4]
 Peter Drucker (1909–2005) saw the basic task of management as
twofold: marketing and innovation. Nevertheless, innovation is also linked to marketing (product
innovation is a central strategic marketing issue). Peter Drucker identifies marketing as a key
essence for business success, but management and marketing are generally understood [by
whom?]
as two different branches of business administration knowledge.
Theoretical scope[edit]
Management involves identifying the mission, objective, procedures, rules and manipulation[5] of
the human capital of an enterprise to contribute to the success of the enterprise.[citation needed] This
implies effective communication: an enterprise environment (as opposed to a physical or
mechanical mechanism) implies human motivation and implies some sort of successful progress or
system outcome.[citation needed] As such, management is not the manipulation of a mechanism
(machine or automated program), not the herding of animals, and can occur either in a legal or in an
illegal enterprise or environment. From an individual's perspective, management does not need to
be seen solely from an enterprise point of view, because management is an essential function to
improve one's life and relationships.[citation needed] Management is therefore everywhere[citation
needed]
and it has a wider range of application.[clarification needed] Based on this, management must have
humans. Communication and a positive endeavor are two main aspects of it either through
enterprise or independent pursuit.[citation needed] Plans, measurements, motivational psychological
tools, goals, and economic measures (profit, etc.) may or may not be necessary components for
there to be management. At first, one views management functionally, such as measuring quantity,
adjusting plans, meeting goals.[citation needed] This applies even in situations where planning does not
take place. From this perspective, Henri Fayol (1841–1925)[6][page needed] considers management to
consist of six functions:

1. forecasting
2. planning
3. organizing
 4. commanding
5. coordinating
6. controlling
In another way of thinking, Mary Parker Follett (1868–1933), allegedly defined management as "the
art of getting things done through people".[7] She described management as philosophy.[8][need quotation
to verify]

Critics[which?], however, find this definition useful but far too narrow. The phrase "management is
what managers do" occurs widely,[9] suggesting the difficulty of defining management
without circularity, the shifting nature of definitions[citation needed] and the connection of managerial
practices with the existence of a managerial cadre or of a class.
One habit of thought regards management as equivalent to "business administration" and thus
excludes management in places outside commerce, as for example in charities and in the public
sector. More broadly, every organization must "manage" its work, people, processes, technology,
etc. to maximize effectiveness.[citation needed] Nonetheless, many people refer to university
departments that teach management as "business schools". Some such institutions (such as
the Harvard Business School) use that name, while others (such as the Yale School of Management)
employ the broader term "management".
English-speakers may also use the term "management" or "the management" as a collective word
describing the managers of an organization, for example of a corporation.[10]Historically this use of
the term often contrasted with the term "labor" – referring to those being managed.[11]
But in the present era[when?] the concept of management is identified[by whom?] in the wide
areas[which?] and its frontiers have been pushed to a broader range.[citation needed] Apart from profitable
organizations even non-profitable organizations (NGOs) apply management concepts. The concept
and its uses are not constrained[by whom?]. Management on the whole is the process of planning,
organizing, coordinating, leading and controlling.

Q-5. Discuss about various Survey methods in detail.?

Ans- Manpower planning means planning means deciding the number and type of the human
resources required for each job, unit and the total company for a particular future date in order to
carry out organizational activities. Manpower planning may be viewed as foreseeing the human
resources requirement of an organization and the future supply of human resources and (i) making
necessary adjustments between these two and organizational plans and (ii) foreseeing the
possibility of developing the supply of manpower resources in order to match it with the
requirements by introducing necessary changes in the functions of human resources management.

The process of manpower planning in an organization.

– Analysing the corporate and unit level strategies.

– Demand Forecasting: Forecasting the overall human resources requirements in accordance
with the organisational plans.

– Supply Forecasting: Obtaining the data and information about the present inventory of
manpower and forecast the future changes in the human resources inventory.

– Estimating the net manpower requirement.

– In case of future surplus than plan for redeployment.

– In case of future deficit, forecast the future supply of manpower from all sources with
reference to plans of other companies.

– Plan for recruitment, development and internal mobility if future supply is more than or equal
to net manpower requirements.

– Plan to modify and adjust the organizational plan if future supply will be inadequate with
reference to future net requirements.

– Degree of uncertainty and length of planning period.

The above points are discussed in details:

Demand Forecasting: The existing job design and analysis may thoroughly be reviewed keeping in
view the future capabilities, knowledge and skills of present employees. Further the jobs should be
redesigned and reanalyzed keeping in view the organizational and unit wise plans and programmes,
future work quantum, future activity or task analysis, future skills, values, knowledge and
capabilities of present employees and prospective employees. The jobs generally should be
designed and analysed reflecting the future human resources and based on future organizational
plans. Job analysis and forecast about the future components of human resources facilitate demand
forecasting. One of the important aspects of demand forecasting of the quantity of human
resources (skill, knowledge values, capabilities etc) in addition to quantity of human resources.
Important forecasting methods are:

1. Managerial Judgment: Under this method, managers decide the number of employees
required for future operations based on their past experience.

2. Statistical Techniques Include: ratio trend analysis and econometric models. Under ratio trend
analysis, ratios are calculated for the past data and these ratios are used for the estimation of the
future manpower requirements For eg.

– Present level of production (1-1-2005) 2000 units

– Present number of foremen (1-1-2005) 5

– Ratio is 2000/4 500

– Estimated production as on (1-1-2005) 5000 units

– Foreman required as on (1-1-2005) 5000/500 = 10

Econometric models for manpower planning are built up by analyzing the past statistical data and by
bringing the relationship among variables.

Work Study Techniques: Under this method, total production and activities in terms of clear units
are estimated in a year. Then man-hours required to produce each unit is calculated, Later the
required number of employees is calculated. For eg.

– Planned operations during 2005 = 1,60,000 units

– Standard man-hours needed to perform each unit in 2005 = 0.25

– Planned man-hours needed per year in 2005 = 40,000

– Work ability per employee in man-hours in 2005 = 2,000

– Number of employees required in 2005 = 40000/20000=20

Supply Forecasting

The first step of forecasting the future supply of human resources is to obtain the data and
information about the present human resources inventory.

Existing Inventory: The data relating to present human resources inventory in terms of humans
components, number, designation-wise and department wise would be obtained. Principal
dimensions of manpower planning are:

1. Head counts regarding total, department wise, sex-wise, designation-wise, skill-wise, pay roll
wise etc.
2. Job Family Inventory: It includes number and category of employees of each job family i.e. all
jobs related to the same category like clerks, cashiers, sub job family i.e. all jobs having
common job characteristics (skill, qualification, similar operations) like production engineer
(mechanical) and maintenance engineer (mechanical) and broad families like general
administration, production etc.
 3. Age Inventory: It includes age-wise number and category of employees. It indicates age wise
imbalances in present inventory, which can be correlated in future selections and
promotions.

Existing inventory at a future date is calculated as follows:

Existing inventory at = Present Inventory + Potential additions – Potential Losses

A future date as on today

Estimating the Net Man Power Requirements: Net manpower requirements in terns of number and
components are to be determined in relation to the overall manpower requirements for a future
date and supply forecast for that date. The difference between overall manpower and future supply
of manpower is to be found out. The difference is the net manpower requirement.

Action Plan for Redeployment, Redundancy/Retrenchment: If future surplus is estimated, the

organization has to plan for redeployment, redundancy etc. If surplus is estimated in some
jobs/departments, employees can be redeployed in other jobs/departments where the deficit of
employees is estimated. The organization should also plan for training or re-orientation before
redeployment of employees. Redeployment takes place in the form of transfers. If the deficit is not
estimated in any job/department and surplus is estimated for the entire organization, the
organization, in consultation with the trade unions has to plan for redundancy or retrenchment.

Recruitment and Selection Plan: Recruitment and selection plan covers the number and type of
employees required, when they are required for the job, time necessary for recruitment and
selection process, recruitment sources, recruitment techniques to be used, selection procedure to
be adopted and selection techniques to be used to subsequently recruiting the required candidates.
It also covers the time factor for induction, preliminary training and placement.

The importance of manpower planning in an organization is :

1. to recruit and retain the manpower of required quality and quantity.

2. to foresee the employee turnover and make the arrangements for minimizing turnover and
filling up of consequent vacancies.
3. to meet the needs of the programmes of expansion, diversification etc.
4. to foresee the impact of technology on work, existing employees and future human resource
requirements.
5. to improve the standards, skill, knowledge, ability, discipline etc.
6. to assess the surplus or shortage of manpower and take measures accordingly.
7. to maintain congenial industrial relations by maintaining optimum level and structure of
human resources.
8. to minimize the imbalances caused sue to non-availability of human resources of the right
kind, right number in right time and right place.
9. to make the best use of its human resources and
10. to estimate the cost of human resources.
11. Manpower Planning: it’s Definition, Process and Affected Factors!
12. According to Gorden MacBeath, manpower planning involves two stages.The first stage is
concerned with the detailed “planning of manpower requirements for all types and levels of
employees throughout the period of the plan,” and the second stage is concerned with
“planning of manpower supplies to provide the organisation with the right types of people
from all sources to meet the planned requirements.”

13. ADVERTISEMENTS:

14. According to Vetter, the process by which management determines how the organisation
should move from its current manpower position to its desired manpower position. Through
planning, management strives to have the right number and the right kinds of people, at the
right places, at the right time, doing things which result in both the organisation and the
individual receiving maximum long-run benefit.

15. Coleman has defined human resource or manpower planning as “the process of determining
manpower requirements and the means for meeting those requirements in order to carry
out the integrated plan of the organisation.”

16. Stainer defines manpower planning as “Strategy for the acquisition, utilisation, improvement,
and preservation of an enterprise’s human resources. It relates to establishing job
specifications or the quantitative requirements of jobs determining the number of personnel
required and developing sources of manpower.”

17. According to Wickstrom, human resource planning consists of a series of activities, viz:
18. ADVERTISEMENTS:
 19. (a) Forecasting future manpower requirements, either in terms of mathematical projections
of trends in the economic environment and development in industry, or in terms of
judgmental estimates based upon the specific future plans of a company;

20. (b) Making an inventory of present manpower resources and assessing the extent to which
these resources are employed optimally;

21. (c) Anticipating manpower problems by projecting present resources into the future and
comparing them with the forecast of requirements to determine their adequacy, both
quantitatively and qualitatively; and

22. (d) Planning the necessary programmes of requirement, selection, training, development,
utilization, transfer, promotion, motivation and compensation to ensure that future
manpower requirements are properly met.

23. According to Geisler, manpower planning is the process—including forecasting, developing

and controlling—by which a firm ensures that it has the right number of people and the right
kind of people at the right places at the right time doing work for which they are
economically most useful.

24. Process of Manpower Planning:

25. The planning process is one of the most crucial, complex and continuing managerial functions
which, according to the Tata Electrical Locomotive Company, “embraces organisation
development, managerial development, career planning and succession planning.” The
process has gained importance in India with the increase in the size of business enterprises,
complex production technology, and the adoption of professional management technique.

MBA 575 (ADVERTISING MANAGEMENT)

Q-1. What is an advertising agency?

Ans- Nearly everyone recognizes the value and benefits of workforce training. When done properly,
training can make workers more efficient — increasing production, revenue, and profits while
decreasing costs, waste, and inefficiencies. Effective training can lead to increased compliance with
regulations. It can even lead to a happier, more satisfied and engaged workforce, which in turn
reduces turnover and costly new employee onboarding. So the benefits are many.

But creating effective training isn’t easy. Some common problems include creating training that
doesn’t support a true business goal, or that’s intended for a problem that training can’t fix, or
without first identifying the true purpose of the training, or that includes too much information. Or
maybe all of those things.

So, how does one create effective workforce training materials? Below is an eight-step road map to
help you create more effective training materials. Entire books have been written about each of
these steps, so there’s far more to say than what’s written below. But this article should serve as an
effective getting-started guide in your quest to create workforce training materials that actually
work.

Beyond that, we’ve added some notes in the conclusion of this blog to get you thinking in a “what’s
next?” manner. Because the neat thing about designing, developing, delivering, and evaluating
training is that you’ll never know everything and you’ll be best-served by being a lifelong
learner yourself.

Convergence Training are workforce training experts. Click the links below to learn more about how
we can help you.

 Learning Management Systems

 Online Workforce Training Courses
 Incident Management Software
 Mobile Training Apps
Download our FREE Guide to Writing Learning Objectives
Step 1: Perform a Training Needs Assessment

Imagine someone at work perceives a problem and thinks a new training program might resolve it.
For example, maybe the production manager says that her workers need to be more efficient and
create more units of a product. Before anyone rushes off, creates training materials, and conducts
the training, it’s a good idea to take a step back and assess the situation. That’s what the training
needs assessment is for.

The basic training needs assessment is a four-step process. Those steps are:

 Identify a clear business goal that the training supports

 Determine the tasks the workers need to perform so the company can reach that goal
 Determine the training activities that will help the workers learn to perform the tasks
 Determine the learning characteristics of the workers that will make the training more
effective

Sounds simple enough, but let’s break those four steps down a bit more.

Identify the business goal:

Don’t provide training if it’s not clear why you’re doing it, or if it doesn’t directly support a business
goal. Business goals include things like increasing revenue and efficiency, decreasing costs and
waste, supporting a new product, teaching a new or changed production process, or complying with
regulations. For example, a business goal might be to train employees to create a new product.

Determine the tasks workers need to perform:

Once you’ve identified the business goal, ask yourself what your employees have to do if the
company is to reach that goal. During this phase, you’ll identify the “performance gap” between
what your workers can do now, and what they must be able to do. To keep with our new product
example, the workers might need to know what the new product is, how the product is produced,
and (most importantly) the tasks the workers must perform on the job to make the product.

Determine the training activities that will help workers learn to perform the tasks:

You’ve identified what the workers need to do, so now you have to identify the training activities
that will help them learn to do those tasks. To continue our example, this may include a quick and
short explanation of the product, an equally quick and short overview of the production process,
and demonstrations mixed with hands-on practice of the tasks they’ll have to perform on the job.

Determine characteristics of workers that will make the training more effective:

Finally, consider the characteristics of your workers to determine the type of training that will be
most effective for them. In a perfect world, you’d cater training to each individual, but that’s not
always possible and you may have to consider the average characteristics of the group as a whole.
Consider these kind of things: are they more comfortable with computer-based training or
instructor-led training; do they like self-guided or self-paced learning, or would they struggle in that
environment; are they youngish or older; are there cultural issues that may factor in; do they learn
better from reading, listening, or doing; etc. And because it’s hard to create one-size training that
fits all, consider training that blends different aspects so you’ve got a better chance of reaching
everyone.

Training Program Framework Development

When developing your training plan, there are a number of considerations. Training is something
that should be planned and developed in advance.

Figure 8.6 Training Program Development Model

The considerations for developing a training program are as follows:

1. Needs assessment and learning objectives. This part of the framework development asks you to
consider what kind of training is needed in your organization. Once you have determined the
training needed, you can set learning objectives to measure at the end of the training.
2. Consideration of learning styles. Making sure to teach to a variety of learning styles is important
to development of training programs.
3. Delivery mode. What is the best way to get your message across? Is web-based training more
appropriate, or should mentoring be used? Can vestibule training be used for a portion of the
training while job shadowing be used for some of the training, too? Most training programs will
include a variety of delivery methods.
4. Budget. How much money do you have to spend on this training?
5. Delivery style. Will the training be self-paced or instructor led? What kinds of discussions and
interactivity can be developed in conjunction with this training?
6. Audience. Who will be part of this training? Do you have a mix of roles, such as accounting
people and marketing people? What are the job responsibilities of these individuals, and how
can you make the training relevant to their individual jobs?
7. Content. What needs to be taught? How will you sequence the information?
8. Timelines. How long will it take to develop the training? Is there a deadline for training to be
completed?
9. Communication. How will employees know the training is available to them?

Q-2 Describe the advantages and disadvantages of advertising and other promotional tools.

Ans- One way is to carry out an audit of the current situation, desired changes in job or
responsibility, and probable technological and organisational developments. This will provide the
information needed to determine what is required of the individual, team or organisation.

Only when the strategic need and context is understood can you determine performance standards
in terms of skills, contacts and practical experience. There are many published management
competencies and standards that can be helpful here (why re-invent the wheel?). The use of the
SWOT that was used for developing the organisations business plan can help set the context too.

Simple questionnaires or tools can help you to identify where individuals stand on a range of
competences and culture. The process of asking and answering the questions, and the feedback will
contribute to self awareness, especially if the results include contributions from line manager, peers
and direct reports. The training need is the difference between the current performance and the
required performance that can be met through training rather than through other changes.
One of the most important factors to know about any Training Needs Assessment (TNA) is: it is a
process that must be configured to meet the situation at hand.

In other words, there is no “off-the-shelf” TNA process to be followed step by step. It just won’t
work. Sure there are “ready made” TNAs for software applications and other skills, but this is low
level and narrow focused and ignores the context.

TNAs can be triggered by many different circumstances, each of which poses its own goals and
requirements. A TNA is a data-based, analytical activity and many methods of collecting and
analyzing information might be used (e.g., (internal & externally based) surveys, questionnaires,
focus groups, interviews, observations, etc), not all of which are appropriate in all situations. When
it comes to undertaking a TNA, you have to look at the situation being faced and devise an
appropriate approach.

Looking at TNAs as a simple system

As a simple system, a Training Needs Analysis is comprised of inputs and

outputs with some form of change process in between. The primary output of a TNA consists of
recommendations and accompanying reasons as to what should be done, to who and why. A TNA
doesn’t always lead to training as a solution. Its conclusions (outputs) might be that training is not
needed or that some other course of action is more appropriate (e.g., job aids, improved
measurement and feedback, goal clarification and even job or work redesign). It is also possible that
TNA will lead to training plus something else. And, of course, there is always the possibility that a
TNA will result in a decision to do nothing at all. The inputs to TNA are informational, including its
triggers, and vary with the occasion.

Q-3. Describe the various methods of budgeting.

Ans- There are three main domains of learning and all teachers should know about them and use
them to construct lessons. These domains are cognitive (thinking), affective (emotion/feeling), and
psychomotor (physical/kinesthetic). Each domain on this page has a taxonomy associated with it.
Taxonomy is simply a word for a classification. All of the taxonomies below are arranged so that they
proceed from the simplest to more complex levels.
The domains of learning were first developed and described between 1956-1972. The ones
discussed here are usually attributed to their primary author, even though the actual development
may have had more authors in its formal, complete citation (see full citations below). Some web
references attribute all of the domains to Benjamin Bloom which is simply not true. While Bloom
was involved in describing both the cognitive and the affective domains, he appeared as first author
on the cognitive domain. As a result this bore his name for years and was commonly known among
educators as Bloom’s Taxonomy even though his colleague David Krathwohl also a partner on the
1956 publication. When publishing the description of the affective domain in 1964 Krathwohl was
named as first author, but Bloom also worked on developing this work. Krathwohl’s involvement in
the development of the cognitive domain will be become important when you look at the authors of
the 2001 revisions to this taxonomy.

Three domains of learning

 Benjamin Bloom (Cognitive Domain),

 David Krathwohl (Affective Domain), and
 Anita Harrow (Psychomotor Domain).

Many veteran teachers are totally unaware that the cognitive/thinking domain had major revisions
in 2000/01. Here I have included both the original cognitive domain, and I have also attached it to
the newly revised version so that users can see the differences. The newer version of Bloom’s
Taxonomy of Learning has a number of added features that can be very useful to educators as they
try to construct optimal learning experiences. I hope readers will explore the differences and
additions through the links provided on this page.

Also, when possible, I believe teachers should attempt to construct more holistic lessons by using all
3 domains in constructing learning tasks. This diversity helps to create more well-rounded learning
experiences and meets a number of learning styles and learning modalities. Using more diversity in
delivering lessons also helps students create more neural networks and pathways thus aiding recall.

The Original Cognitive or Thinking Domain –

Based on the 1956 work, The Handbook I-Cognitive Domain, behavioral objectives that dealt with
cognition could be divided into subsets. These subsets were arranged into a taxonomy and listed
according to the cognitive difficulty — simpler to more complex forms. In 2000-01 revisions to the
cognitive taxonomy were spearheaded by one of Bloom’s former students, Lorin Anderson, and
Bloom’s original partner in defining and publishing the cognitive domain, David Krathwohl. Please
see my page entitled Anderson and Krathwohl – Bloom’s Taxonomy Revised for further details.
 Remember while it is good to understand the history of the older version of this domain, the newer
version has a number of strong advantages that make it a better choice for planning instruction
today. One of the major changes that occurred between the old and the newer updated version is
that the two highest forms of cognition have been reversed. In the older version the listing from
simple to most complex functions was ordered as knowledge, comprehension, application, analysis,
synthesis, and evaluation. In the newer version the steps change to verbs and are arranged
as knowing, understanding, applying, analyzing, evaluating, and the last and highest function,
creating.

Taxonomies of the Cognitive Domain

Bloom’s Taxonomy 1956 Anderson and Krathwohl’s Taxonomy 2001

1. Knowledge: Remembering or retrieving previously 1. Remembering: Recognizing or recalling knowledge

learned material. Examples of verbs that relate to this from memory. Remembering is when memory is
function are: used to produce or retrieve definitions, facts, or lists,
or to recite previously learned information.
know identify define recall record name
relate list memorize recognize
repeat acquire

2. Comprehension: The ability to grasp or construct 2. Understanding: Constructing meaning from

meaning from material. Examples of verbs that relate to different types of functions be they written or
this function are: graphic messages, or activities like interpreting,
exemplifying, classifying, summarizing, inferring,
restate locate identify discuss illustrate comparing, or explaining.
report describe discuss interpret draw
recognize review infer represent
explain express differentiate
conclude

3. Application: The ability to use learned material, or to 3. Applying: Carrying out or using a procedure
implement material in new and concrete situations. through executing, or implementing. Applying relates
Examples of verbs that relate to this function are: to or refers to situations where learned material is
used through products like models, presentations,
 interviews or simulations.
apply relate organize employ practice
develop restructure calculate show
translate use interpret exhibit
operate demonstrate dramatize
illustrate

4. Analysis: The ability to break down or distinguish the 4. Analyzing: Breaking materials or concepts into
parts of material into its components so that its parts, determining how the parts relate to one
organizational structure may be better another or how they interrelate, or how the parts
understood.Examples of verbs that relate to this function relate to an overall structure or purpose. Mental
are: actions included in this function are differentiating,
organizing, and attributing, as well as being able to
analyze differentiate experiment distinguish betweenthe components or parts. When
compare probe contrast scrutinize one is analyzing, he/she can illustrate this mental
inquire examine investigate discover inspect function by creating spreadsheets, surveys, charts, or
contrast detect survey dissect diagrams, or graphic representations.
categorize classify deduce discriminate
separate

5. Synthesis: The ability to put parts together to form a 5. Evaluating: Making judgments based on criteria
coherent or unique new whole. In the revised version of and standards through checking and critiquing.
Bloom’s synthesis becomes creating and becomes the Critiques, recommendations, and reports are some of
last and most complex cognitive function. Examples of the products that can be created to demonstrate the
verbs that relate to the synthesis function are: processes of evaluation. In the newer
taxonomy, evaluating comes before creating as it is
compose plan invent propose often a necessary part of the precursory behavior
produce design formulate develop arrange before one creates something.
assemble create collect set up construct
prepare predict generalize organize
modify tell document originate derive
combine relate write propose
6. Evaluation: The ability to judge, check, and even 6. Creating: Putting elements together to form a
critique the value of material for a given purpose. This coherent or functional whole; reorganizing elements
function goes to #5 in the revised version of Bloom’s. into a new pattern or structure through generating,
Examples of verbs that relate to evaluation are: planning, or producing. Creating requires users to put
parts together in a new way, or synthesize parts into
judge assess argue decide validate something new and different thus creating a new
compare choose rate consider form or product. This process is the most difficult
evaluate select estimate appraise value mental function in the new taxonomy.
conclude criticize infer
measure
deduce

Additional Resources: There are many different types of graphics cleverly depicting the new versions
that can be printed and readily used as everyday references during instructional planning. In a
search engine like Google enter “revised Bloom’s taxonomy” and view the “images” portion of the
search to find many different types of colorful and useful graphics on this topic.

Q-4. Write notes on Integrated Marketing Communication

Ans- Learning theories are conceptual frameworks that describe how students absorb, process, and
retain knowledge during learning.[1]Cognitive, emotional, and environmental influences, as well as
prior experience, all play a part in how understanding, or a world view, is acquired or changed and
knowledge and skills retained.[2][3]
Behaviorists look at learning as an aspect of conditioning and advocate a system of rewards and
targets in education. Educators who embrace cognitive theory believe that the definition of learning
as a change in behavior is too narrow, and study the learner rather than their environment—and in
particular the complexities of human memory. Those who advocate constructivism believe that a
learner's ability to learn relies largely on what they already know and understand, and the
acquisition of knowledge should be an individually tailored process of construction. Transformative
learning theory focuses on the often-necessary change required in a learner's preconceptions and
world view. Geographical learning theory focuses on the ways that contexts and environments
shape the learning process.[1][4][5]
Outside the realm of educational psychology, techniques to directly observe the functioning of the
brain during the learning process, such as event-related potential and functional magnetic
resonance imaging, are used in educational neuroscience. The theory of multiple intelligences,
where learning is seen as the interaction between dozens of different functional areas in the brain
each with their own individual strengths and weaknesses in any particular human learner, has also
been proposed, but empirical research has found the theory to be unsupported by evidence. [6][7]
Behaviorism

Behaviorism stems from the work of B.F. Skinner and the concept of operant
conditioning. Behaviorism theorists believe that knowledge exists independently and outside of
people. They view the learner as a blank slate who must be provided the experience. Behaviorists
believe that learning actually occurs when new behaviors or changes in behaviors are acquired
through associations between stimuli and responses. Thus, association leads to a change in
behavior.

Learning process

The learning process is based on objectively observable changes in behavior. Behavior theorists
define learning simply as the acquisition of a new behavior or change in behavior. The theory is that
learning begins when a cue or stimulus from the environment is presented and the learner reacts to
the stimulus with some type of response. Consequences that reinforce the desired behavior are
arranged to follow the desired behavior (e.g. study for a test and get a good grade). The new
behavioral pattern can be repeated so it becomes automatic. The change in behavior of the learner
signifies that learning has occurred. Teachers use Behaviorism when they reward or punish student
behaviors.

Examples and applications of behaviorist learning theory:

 Drill / Rote work

 Repetitive practice
 Bonus points (providing an incentive to do more)
 Participation points (providing an incentive to participate)
 Verbal Reinforcement (saying “good job”)
 Establishing Rules

Unfortunately, Behaviorism instruction does not prepare the learner for problem solving or creative
thinking. Learners do what they are told and do not take the initiative to change or improve
things. The learner is only prepared for recall of basic facts, automatic responses or performing
tasks.

Links

Types Behavioral Learning

Operant Conditioning

Cognitive Information Processing (Cognitivism)

Cognitive information processing is based on the thought process behind the behavior. The theory
is based on the idea that humans process the information they receive, rather than merely
responding to stimuli (i.e. that think about what is happening). The changes in behavior are
observed, but only as an indictor to what is going on in the learner’s head. The learner’s mind is like
a mirror from which new knowledge and skills will be reflected.

Cognitive information processing is used when the learner plays an active role in seeking ways to
understand and process information that he or she receives and relate it to what is already known
and stored within memory. Cognitive learning theories are credited to Jean Piaget.

Learning process

Cognitive learning theorists believe learning occurs through internal processing of

information. Unlike behaviorism, cognitive information processing is governed by an internal
process rather than by external circumstance. The cognitive approach to learning theory pays more
attention to what goes on inside the learner’s head and focuses on mental processes rather than
observable behavior. Changes in behavior are observed, and used as indicators as to what is
happening inside the learner’s mind.

Learning involves the reorganization of experiences, either by attaining new insights or changing old
ones. Thus, learning is a change in knowledge which is stored in memory, and not just a change in
behavior.

Examples and applications of cognitive learning theory:

 Classifying or chunking information

 Linking Concepts (associate new content with something known)
 Providing Structure (organizing your lecture in efficient and meaningful ways)
 Real world examples
 Discussions
 Problem solving
 Analogies
 Imagery / providing pictures
 Mnemonics
Constructivism

Constructivism is based on the premise that we all construct our own perspective of the world,
based on individual experiences and internal knowledge. Learning is based on how the individual
interprets and creates the meaning of his or her experiences. Knowledge is constructed by the
learner and since everyone has a different set of experiences and perceptions, learning is unique
and different for each person.

Learning Process

Constructivist theorists believe that learning is a process where individuals construct new ideas or
concepts based on prior knowledge and/or experience. Each of us generates our own mental
models, which we use to make sense of our experiences. We resolve conflicts between ideas and
reflect on theoretical explanations. Learning, therefore, is simply the process of adjusting our
mental models to accommodate our new experiences.

This theory is used to focus on preparing people to problem solve. Therefore, to be successful, the
learner needs a significant base of knowledge upon which to interpret and create
ideas. Additionally, with Constructivism, outcomes are not always predictable because learners are
constructing their own knowledge. Thus Constructivism does not work when the results always
need to be consistent.

Examples and applications constructivism:

 Case studies
 Research Projects
 Problem based learning
 Brainstorming
 Collaborative learning / group work
 Discovery learning
 Simulations

Summary

All three theories are important to understand. When deciding which strategies to use, it is
important to consider:
  the level of knowledge of the learners
 the thought processing demands, and
 the desired outcome (generation of new ideas or a single answer)

Q-5. What do you mean by appeals? What are different types of appeals? Illustrate with example.?

Ans- educators and prospective teachers towards these maxims. Keywords: Maxims,
Prospective teachers, Teacher education, Teacher educators, Introduction. “Teaching is defined as
an interactive process primarily involving classroom talk which takes place between teacher and
pupil and occurs during certain definable activity. ...

Definitions

from The American Heritage® Dictionary of the English Language, 4th Edition
 n. A succinct formulation of a fundamental principle, general truth, or rule of conduct. See
Synonyms at saying.

from Wiktionary, Creative Commons Attribution/Share-Alike License

 n. A self-evident axiom or premise; a pithy expression of a general principle or rule.
 n. A precept; a succinct statement or observation of a rule of conduct or moral teaching.

from the GNU version of the Collaborative International Dictionary of English

 n. An established principle or proposition; a condensed proposition of important practical truth; an
axiom of practical wisdom; an adage; a proverb; an aphorism.
 n. The longest note formerly used, equal to two longs, or four breves; a large.

from The Century Dictionary and Cyclopedia

 n. A proposition serving as a rule or guide; a summary statement of an established or accepted
principle; a pithy expression of a general rule of conduct or action, whether true or false: as, the
maxims of religion or of law; the maxims of worldly wisdom or of avarice; ethical maxims.
 n. In logic, the rule of a commonplace; an ultimate major premise.
 n. An axiom.
Five Stages For Effective Teaching and Meaningful Learning in the Classroom
Israel Galindo is Associate Dean for Lifelong Learning at Columbia Theological Seminary. He also
writes for the Wabash Center's Blog for Theological School Deans.
Like many others, I started my teaching career emulating those who taught me, and, uncritically
imitating the way they taught. By and large, that meant passing on information by lecturing in the
classroom, with occasional attempts at "discussion." Since then I've come to understand better the
processes of teaching and learning. I've come to appreciate that learning is the process whereby we
acquire knowledge, apply it, and retain it. Conversely, teaching is the process whereby we create
the conditions and experiences that help learners acquire knowledge, apply it, and retain it.
Consequentially, the three basic evidences of learning are comprehension, application, and
retention. Those three evidences only happen when there is “meaningful learning.” Meaningful
learning refers to knowledge that has value to the learner; knowledge that satisfies, can be used,
and which the learner can identify with and incorporates into their thinking, feeling, or doing.
Along the way I've identified four foundational pedagogical principles that inform my practice of
teaching:
The student is the agent of learning (not the teacher)
Meaningful knowledge is constructed by the learner ("teaching by telling" does not work)
Experience mediates learning (application of experiential learning)
Meaningful knowledge is applied in the real world (avoid "pretend learning")
Learning requires retention over time (the function of memory and retention).
That's clear enough, but bringing about meaningful learning requires an intentional act on the part
of the teacher. Understanding and applying the pedagogy that helps realize meaningful learning
makes us more effective teachers. Below are the five stages I use for meaningful learning, with
corresponding pedagogical practices beyond lecturing to help make it happen. Sometimes I use the
five stages as the structure for each lesson in a course of study, and, sometimes the stages form the
framework for the arch of a course. Either way, I work to ensure that the design of the learning
experience follows the structure.
1. Learn about it.
I've discovered the power of helping students find a motivation for learning. But, it is an unrealized
or perceived need that is a motivator, not an "interest" or the merely novel. So, awaken in the
learner's the insight, "This is why I need to learn this." When guiding students to "learn about"
something, teach from the known to the unknown (build on prior knowledge) using pathways to
learning (things that help bridge the known to the unknown: metaphors, experiences, etc.).
Remember that meaningful learning is knowledge that addresses a need, solves a problem, or
satisfies. So, I try to avoid the temptation of "coverage." A course about everything and anything is a
course about nothing in general. When "learning about" something, attainment of concepts and
principles have more value than learning facts or receiving information.
Most helpful pedagogy: Lecture, explication, problem-posing.
Teacher action: identify knowledge category (skill, information, concepts, principle, self-
understanding, etc.). Lecture on concepts and principles (not information). Apply appropriate
teaching taxonomy
2. Understand it.
Regardless of how important I think it is, merely receiving information is not sufficient to bring
about meaningful learning. At appropriate intervals, I test for comprehension and check for
misunderstanding. Understanding is nuanced, it has degrees and facets, therefore, it's helpful to
attend to degrees of learning: "To what extent do you want your learner to know something?" Here,
the taxonomy by Wiggins and McTigh's facets of understanding is very helpful in being clear about
what I'm teaching toward: Explanation, Application, Empathy, Self-understanding.
Most helpful pedagogy: dialog, question and answer, self-assessment, test for misunderstanding.
Teacher action: share information, provide sources of information or knowledge, test for
comprehension, test for misunderstanding using appropriate assessment taxonomy.
3. Manipulate it.
For knowledge to become meaningful, learners must be able to manipulate it. Manipulating
information helps internalize knowledge by creating pathways for connecting with what is known,
and, processing knowledge through multiple intelligences. Manipulating information, concepts,
principles, or objects helps the learner acquire understanding and a "sense" of the nature of things.
The manipulation of knowledge also satisfies the need for the "experience" of knowledge. I find this
often to be the most creative part of designing the learning experience.
Most helpful pedagogy: Interpret it, enhance it, diagram it, depict it, change it, deconstruct it,
combine it, illustrate it, interpret it, model it.
Teacher action: provide appropriate experiential learning activity.
4. Retain it.
Meaningful learning is bringing about change to long-term memory--if the students can't retain it,
they haven't learned it. Meaningful learning must be rehearsed in order for it to be retained and to
achieve mastery. One common liability in classroom learning is a failure to rehearse learning after
the test. I've found that I have to reduce the scope of what I teach (avoid wide coverage), and
design multiple ways for students to revisit, manipulate, and apply the concepts at intervals during
the course.
Most effective pedagogy: rehearsal, memorization and recall, association, application.
Teacher action: Provide for rehearsal. Use transition induction and summary-review induction. Test
for retention and accuracy of retention. Plan intervals for revisiting and rehearsing core concepts.
 MBA 576 (INTERNATIONAL MARKETING MANAGEMENT)

Q-1. What is Transfer Pricing? Describe Counter Trade and Systems Pricing.

Ans- Human resources development (HRD) refers to the vast field of training and development
provided by organizations to increase the knowledge, skills, education, and abilities of their
employees. In many organizations, the human resources development process begins upon the
hiring of a new employee and continues throughout that employee's tenure with the organization.
Many employees come into an organization with only a basic level of skills and experience and must
receive training in order to do their jobs effectively. Others may already have the necessary skills to
do the job, but don't have knowledge related to that particular organization. HR development is
designed to give employees the information they need to adapt to that organization's culture and to
do their jobs effectively.

What Is the Purpose of HRD?

Human resources development can be viewed, in some ways, in the same manner that a coach
views his athletic team. While a coach may recruit players who already have some skill and ability,
the point of continued practice is to strengthen those skills and abilities and make even better
athletes.
HR development has the same goal: to make better employees. The purpose of HR development is
to provide the 'coaching' needed to strengthen and grow the knowledge, skills, and abilities that an
employee already has. The goal of development and training is to make employees even better at
what they do.

Types of HRD
Human resources development usually begins as soon as an employee is hired and continues
throughout that employee's tenure with the organization. HRD comes in different forms, including
on-the-job training or job shadowing, textbook or online education, growth opportunities, and
compliance training.
On-the-job training refers to learning the aspects of a job while one is doing the job. An employee
may know the basics of what the job requires, but specifics like which forms to use, where materials
are stored, and how to access the computer systems may require on-the-job training.
Job shadowing is similar in that the employee watches another employee do the job in order to
develop the proper skills.
Another form of development is intellectual or professional development, which includes college or
certification courses or job-specific trainings and seminars related to how to do one's job
THEN: Ten years ago, social media was fairly new and a little unsettling for business leaders and HR.
Twitter was just 1 year old, and Facebook was thought of mainly as a distraction that threatened to
decrease productivity. Two-thirds of employers used technology to block connections to banned
websites in 2006, 3 out of 4 monitored which websites workers visited and more than half
monitored employees’ e-mails, according to a BambooHR study of HR trends.
NOW: A more relaxed attitude prevails. Last year, just 30 percent of organizations blocked access to
certain sites and even fewer kept an eye on what workers were viewing and e-mailing, according
to BambooHR.
Percentage of companies that track which websites employees visitOf course, company leaders fully
understand that social media can be distracting—and will continue to be for as long as there are
cute cat videos to share—but they also realize that trying to control employees’ online lives at work
is likely futile and perhaps even counterproductive. Social media is “how people are used to finding
information and communicating. If you limit it too much, it’s going to stifle them,” says Donatella
Verrico, chief human resources officer at law firm Lowenstein Sandler in Roseland, N.J.
WHAT’S NEXT: In the next decade, companies may well abandon e-mail and use social media or
other instant messaging tools as their primary internal communication vehicle, predicts Shawn
Casemore, president of Ontario, Canada-based management consulting firm
Q-2. Describe about the dynamic environment of international trade?
Ans- The managerial function of staffing involves manuring the organizational structure through
proper and effective selection, appraisal and development of personnel to fill the roles designed into
the structure.” Staffing is defined as, “Filling and keeping filled, positions in the organizational
structure.

Human Resource Management (HRM): Definition & Functions

Sponsored

Human Resource Management

Human Resource Management is a function within an organization which focuses mainly on the
recruitment of, management of, and providing guidelines to the manpower in a company. It is a
function of the company or organization which deals with concerns that are related to the staff of
the company in terms of hiring, compensation, performance, safety, wellness, benefits, motivation
and training.

Human Resource Management is also a premeditated approach to manage people and the work
culture. An efficient human resource management enables the workforce of an organization to
contribute efficiently and effectively towards the overall achievement of a company’s goals and
objectives.

The traditional method of human resource management involved planned exploitation of staffs. This
new function of human resource management involves HRM Metrics and measurements and
strategic direction to display value. Under the influence of giving away the traditional method, HRM
has got a new terminology called Talent Management.

Human Resource Management functions can be of three types like Operative, Managerial, and
advisory. Let’s see them one by one.

Q-3. Describe about Licensing, Strategic Alliances, Manufacturing Subsidiaries.

Ans- Human resource is a department within a company whose responsibilities include searching for
employees and training them, helping with conflict resolution, and organizing and helping with
benefits. In other words, the HR department works with employees, their issues and their needs.
So, human resource strategy is completing all of these responsibilities, only this time those
responsibilities are completed with the overall goals, mission, and future aspirations of the
company. It is the act of being proactive so that employees have the necessary tools and attitudes
to align with the direction the company is moving in.
Staffing is the traditional management function of attraction and selection of the best people and
putting them on job where their talents and skills can be best utilized, and retention of these people
through incentives, job training and job enrichment programmes, in order to achieve both individual
and organisational objectives. This emphasizes managing human and not material or financial
resources.

Staffing is the function of human relationship in the organisational structure with competent staff.
Staffing in that part of the management function which is concerned with people at work and with
their relationship within the organisation.

Staffing may be defined as “that function of management, which is concerned with selecting,
developing, maintaining and utilizing the manpower such that the objectives of the organisation are
achieved economically and effectively. The objectives of individual employees of the organisation are
accomplished to the highest degree possible, serving in the process the objectives of the community
at large.”

Human Resource Development (HRD) is the framework for helping employees develop their
personal and organizational skills, knowledge, and abilities.

HRD is one of the most significant opportunities that employees seek when they consider you as an
employer. The ability, and encouragement, to continue to develop their skills help you to
retain and motivate employees.

Human Resource Development includes such opportunities as employee training, employee career
development, performance management and development, coaching, mentoring, succession
planning, key employee identification, tuition assistance, and organization development.

The focus of all aspects of Human Resource Development is on developing the most superior
workforce so that the organization and individual employees can accomplish their work goals in
service to customers.

Organizations have many opportunities for human resources or employee development, both within
and outside of the workplace.

Human Resource Development can be formal such as in classroom training, a college course, or an
organizational planned change effort. These are the options that you have for developing your
employees. Formal training can add value in your workplace.

Or, Human Resource Development can be informal as in employee coaching by a manager or

internal training and development classes taught by internal staff or a consultant. Mentoring by
more experienced employees is also recommended for employee development.
It is especially useful as employees become more senior within your organization. Traditionally,
executive leaders and senior managers are resistant to training classes and conference educational
sessions.

Healthy organizations believe in Human Resource Development and cover all of these bases. One
option that is recommended, in preference to many other ways in which organizations develop
employees, is to provide internal training either with internal staff or a paid facilitator or consultant.
There are advantages to internal employee development.

Tips for Internal Training

Management training develops employee strengths and their ability to contribute in your
organization. A variety of management training is available to organizations—choices are endless.

The management training can include internally supplied, customized for your company,
management development sessions.

Internal management development is also provided through book clubs at work, challenging work
assignments, and coaching from the manager's boss. Many options in management training are
identified through the performance development planning process. Options include classes, internal
work assignments, field trips, and self-study. Approach management training with openness and a
creative mindset.

Ideas about topics for management training are as diverse as management jobs. Choose the
management training most suitable to your management career from these suggested options.

When you approach providing internal training, a recommended way to offer the developmental
sessions is to have a facilitator or presenter meet with employees in a group weekly for a two-hour
training session. These sessions can last for several years although you will want to limit the
frequency over time.

The key to the success of the training sessions is that the time together, the discussion, the shared
training topics, the new information, and the shared reading both educate and build the team. With
the appropriate facilitator who is tuned in to the language and culture of your organization, these
sessions provide an effective approach to learning and employee development.

Additionally, learning comes in bites small enough to practice and participants are not overwhelmed
with information. They also have the chance to discuss what worked for them of the lessons they
applied in the workplace at the next training session.

Consistent feedback from the planned weekly interaction is that the managers or the departments
are pleased and found the training process invaluable wherein a strong, effective team was built.

When I have worked with companies outside of a 90-minute drive or outside of my state, I have
limited the training sessions to a couple of times a month. I have found that less frequency
interferes with the team building aspects of the meetings, although not with the educational
component of the training sessions.

So, if you're looking for a way to develop your internal staff that involves an external consultant, or
even an internal manager or HR staff person, this is an effective way to offer training and build the
team at the same time.

Your options for management development and employee training are limited only by your
imagination—and by the imagination of your employees. Why not try out various options to find out
which work best for your organization.

Q-4. Describe the scope and challenges to international market.

Ans- Human Resource Development (HRD) is aframework for helping employees, develop there
personal andorganizational skills, knowledge and abilities. Human ResourceDevelopment includes
such opportunities as employee training, employeecarrier development, coaching, succession
planning, key employeeidentification, tuition assistance and organizational development
RoleofHumanResourceDevelopment

Human Resource Development reinforce the executiveSkills by marketing people aware about the
skills required for job performance and by outlining performance standards.

It uploads career planning and ensure all around growth of employees

huming place in developing a work plan with theemployee.

Encouraging Good Performance

An important element of a workplanning and performance review system is holding joint

work planning and performance review meetings on aregular basis. This system allows both the
supervisor and theemployee to evaluate performance and to plan ahead fortraining or other career
development activities, if needed. Awork planning and performance review system can
improveindividual staff performance and increase staff motivation. If you use the system as the
basis for creating a staff development plan, it will also help you align staff development efforts more
closely with your organization'sgoals.

Providing Meaningful Work:

Communicating to employeesthat their work matters is an important element in an HRDstrategy.

Engaging in systematic planning and taking stepsto make sure that people's day-to-day work directly
supportsthe priorities of the organization is critical to meeting yourorganization's objectives. These
objectives represent thestrategic areas in which your organization has decided tofocus in a given
year, as identified during your organization'sannual planning process.

Staff Development Responsibility

Making staff development apriority is an importance component of a comprehensiveHRD system. A

well-managed program of training and staff development can broaden the skills and competencies
of your staff and reap many pay-offs. Formal, organizedtraining is only one vehicle for staff
development. Other staff development strategies include:

On-the-job learning through mentoring relationships;

Cross-functional assignments;

Membership in task forces and committees;

HRD audit is cost-effective and can give many insights into a company's affairs. The auditors come
for one to two weeks, camp at the organization and give a report in a month's time. They normally
make a preliminary presentation at the end of their visit. HRD audit can lead to several benefits:

1. Getting the top management to think in terms of strategic and long-term business plans

It may sound ironical that the HRD audit should begin with such strategic plans, but in some cases it
has compelled the top management to think about such plans. while some companies started
thinking about them, a few others started sharing these plans with a larger number of persons.
Since the employees cannot participate in an HRD audit without some sharing of these plans, the
audit has forced the top management to share their plans which has resulted in increased employee
involvement. In a few cases a new system of annual planning and sharing of business plans with the
management staff have been initiated to enablethem plan their own activities and competency
development programmes.

2. Clarifying the role of the HRD department and line managers in HRD

In almost all cases the HRD audit has been found to draw the attention of employees at various
levels to the important role of the HRD departmentÑcurrent as well as the future. Enhanced role
clarity of HRD department and HRD function and increased understanding of line managers about
their HRD role have been the uniform results of HRD audit. The degree may vary from organization
to organization depending on other factors.

3. Streamlining of other management practices

Most often HRD audit identifies the strengths and weaknesses in the some of the management
systems existing in the organization. It also points out to the absence of systems that can enhance
human productivity and utilisation of the existing competency base; for example, the MIS, rules and
procedures, etc. which may have an effect on the functioning of the employees. In a few cases
anHRD audit has helped the management look at some of these sub-systems and work procedures.
Preparation of a manual of delegation of powers, clarification of roles and responsibilities,
developing or streamlining the manuals of financial and accounting procedures and systems,
strengthening the information systems, and sharing of information are some of the resultant
activities in this direction.

4. Better recruitment policies and more professional staff

An HRD audit points out to the competence base required. It sets the stage and gives direction for
the competency requirements of employees at various levels and thus provides a base for
recruitment policies and procedures. In some companies, it has resulted in strengthening the
recruitment policies and procedures. As a result of HRD audit, new recruitment and retention
strategies have been worked out.

5. Changes in the styles of top management

One of the objectives of HRD is to also create a learning organization. A learning culture canbe
created only if the top managers of the company exhibit an HRD style of management. Such a style
requires an empowering attitude, participative style of management, and an ability to convert and
use mistakes, conflicts and problems as learning opportunities. Some of the top-level managers in
India have been found to block employee motivation and learning through coercive, autocratic and
even paternalistic styles of management. In such cases the HRD audit has pointed out the difficulties
in developing and preparing the employees for the future. This has helped to provide subtle
feedback to the top management and to initiate a change process.

6. Improvements in HRD systems

The HRD audit has helped most of the organisations in taking stock of the effectiveness of their HRD
systems and in designing or re-designing the HRD systems. The most frequently changed or
renewed systems include performance appraisal, induction training, job-rotation, career planning
and promotion policies, mentoring,communication, and training.

7. More planning and more cost-effective training

HRD audits have been found to raise questions about the returns on training. One of the aspects
emphasised in the HRD audit is to calculate the investments made in training and ask questions
about he returns. The process of identifying training needs and utilisation of training inputs and
learning for organisation growth and development are assessed. As direct investments are made in
training, any cost-benefit analysis draws the attention of the top management and HRD managers to
review the training function with relative ease. One organization strengthened its training function
by introducing a new system of post-training follow-up and dissemination of knowledge to others
through seminars and action plans. many organisations have developed training policies and
systematised their training function. Assessment of training needs has also become more scientific
in these organisations.

8. Increased focus on humanresources and human competencies

One of the results of an HRD audit is to focus on new knowledge, attitudes and skills required by the
employees in the organization. Comments are made about the technical, managerial, human and
conceptual competencies of the staff at various levels. This differentiation has been found to help
organisations identify and focus sharply on the competency requirements and gaps. The audit
establishes a system of role clarity and fixing of accountabilities. This can take place through
separate role clarity exercises or through the development of an appropriate performance appraisal
system. In any case the attention of the organization gets focussed on developing the competency
base of the organization. More sensitivities are developed to the missing aspects of competencies.
For example, one organization has been found to neglect human relations competencies of their
staff, resulting in a large number of human Problems leading to wastage of time. Some of these got
streamlinedand various HRD policies also got strengthened.

9. Strengthening accountabilities through appraisal systems and other mechanisms

An HRD audit can give significant inputs about the existing state of the accountabilities of
employees. This gets assessed through performance appraisals as well as through the work culture
and other cultural dimensions. A number of organisations have introduced systems of performance
planning, sharing of expectations and documenting the accountabilities of staff.

10. TQM interventions

Quality improvements and establishing TQM systems require a high degree of employee
involvement. In a number of cases the HRD audit has pointed out to the linkages between TQM and
other developmental programmes and helped in strengthening the same. Due to improvements in
the training system, group work and appraisal systems, TQM programmes have also improved. In a
few organisations the performance appraisals have been so changed as to integrate quality aspects
and internalcustomer satisfaction dimensionsinto the appraisal system. Thus, an HRD audit leads to
the strengthening of the quality systems.

Q-5. Write a short notes on Quality and Global Standards.

Ans- Strategic management involves the formulation and implementation of the major goals and
initiatives taken by a company's top management on behalf of owners, based on consideration
of resources and an assessment of the internal and external environments in which the organization
competes.[1] Strategy is defined as "the determination of the basic long-term goals of an enterprise,
and the adoption of courses of action and the allocation of resources necessary for carrying out
these goals."[11]Strategies are established to set direction, focus effort, define or clarify the
organization, and provide consistency or guidance in response to the environment. [12]
Strategic management involves the related concepts of strategic planning and strategic thinking.
Strategic planning is analytical in nature and refers to formalized procedures to produce the data
and analyses used as inputs for strategic thinking, which synthesizes the data resulting in the
strategy. Strategic planning may also refer to control mechanisms used to implement the strategy
once it is determined. In other words, strategic planning happens around the strategic thinking or
strategy making activity.[13]
Strategic management is often described as involving two major
processes: formulation and implementation of strategy. While described sequentially below, in
practice the two processes are iterative and each provides input for the other.[13]
Formulation[edit]
Formulation of strategy involves analyzing the environment in which the organization operates, then
making a series of strategic decisions about how the organization will compete. Formulation ends
with a series of goals or objectives and measures for the organization to pursue. Environmental
analysis includes the:

 Remote external environment, including the political, economic, social, technological, legal and
environmental landscape (PESTLE);
 Industry environment, such as the competitive behavior of rival organizations, the bargaining
power of buyers/customers and suppliers, threats from new entrants to the industry, and the
ability of buyers to substitute products (Porter's 5 forces); and
 Internal environment, regarding the strengths and weaknesses of the organization's resources
(i.e., its people, processes and IT systems).[13]
Strategic decisions are based on insight from the environmental assessment and are responses to
strategic questions about how the organization will compete, such as:

 What is the organization's business?

 Who is the target customer for the organization's products and services?
 Where are the customers and how do they buy? What is considered "value" to the customer?
 Which businesses, products and services should be included or excluded from the portfolio of
offerings?
 What is the geographic scope of the business?
 What differentiates the company from its competitors in the eyes of customers and other
stakeholders?
 Which skills and capabilities should be developed within the firm?
 What are the important opportunities and risks for the organization?
 How can the firm grow, through both its base business and new business?
 How can the firm generate more value for investors?[13][14]
The answers to these and many other strategic questions result in the organization's strategy and a
series of specific short-term and long-term goals or objectives and related measures.[13]
Implementation[edit]
The second major process of strategic management is implementation, which involves decisions
regarding how the organization's resources (i.e., people, process and IT systems) will be aligned and
mobilized towards the objectives. Implementation results in how the organization's resources are
structured (such as by product or service or geography), leadership arrangements, communication,
incentives, and monitoring mechanisms to track progress towards objectives, among others. [13]
Running the day-to-day operations of the business is often referred to as "operations management"
or specific terms for key departments or functions, such as "logistics management" or "marketing
management," which take over once strategic management decisions are implemented.[13]
Many definitions of strategy[edit]
Strategy has been practiced whenever an advantage was gained by planning the sequence and
timing of the deployment of resources while simultaneously taking into account the probable
capabilities and behavior of competition.

Bruce Henderson[15]
In 1988, Henry Mintzberg described the many different definitions and perspectives on strategy
reflected in both academic research and in practice.[16][17] He examined the strategic process and
concluded it was much more fluid and unpredictable than people had thought. Because of this, he
could not point to one process that could be called strategic planning. Instead Mintzberg concludes
that there are five types of strategies:

 Strategy as plan – a directed course of action to achieve an intended set of goals; similar to the
strategic planning concept;
 Strategy as pattern – a consistent pattern of past behavior, with a strategy realized over time
rather than planned or intended. Where the realized pattern was different from the intent, he
referred to the strategy as emergent;
 Strategy as position – locating brands, products, or companies within the market, based on the
conceptual framework of consumers or other stakeholders; a strategy determined primarily by
factors outside the firm;
 Strategy as ploy – a specific maneuver intended to outwit a competitor; and
 Strategy as perspective – executing strategy based on a "theory of the business" or natural
extension of the mindset or ideological perspective of the organization.
In 1998, Mintzberg developed these five types of management strategy into 10 “schools of thought”
and grouped them into three categories. The first group is normative. It consists of the schools of
informal design and conception, the formal planning, and analytical positioning. The second group,
consisting of six schools, is more concerned with how strategic management is actually done, rather
than prescribing optimal plans or positions. The six schools are entrepreneurial, visionary, cognitive,
learning/adaptive/emergent, negotiation, corporate culture and business environment. The third
and final group consists of one school, the configuration or transformation school, a hybrid of the
other schools organized into stages, organizational life cycles, or “episodes”.[18]
Michael Porter defined strategy in 1980 as the "...broad formula for how a business is going to
compete, what its goals should be, and what policies will be needed to carry out those goals" and
the "...combination of the ends (goals) for which the firm is striving and the means (policies) by
which it is seeking to get there." He continued that: "The essence of formulating competitive
strategy is relating a company to its environment."[19]
Some complexity theorists define strategy as the unfolding of the internal and external aspects of
the organization that results in actions in a socio-economic context.[20][21][22]
Historical development[edit]
Origins
The strategic management discipline originated in the 1950s and 1960s. Among the numerous early
contributors, the most influential were Peter Drucker, Philip Selznick, Alfred Chandler, Igor
Ansoff,[23] and Bruce Henderson.[5] The discipline draws from earlier thinking and texts on 'strategy'
dating back thousands of years. Prior to 1960, the term "strategy" was primarily used regarding war
and politics, not business.[24] Many companies built strategic planning functions to develop and
execute the formulation and implementation processes during the 1960s.[25]
Peter Drucker was a prolific management theorist and author of dozens of management books, with
a career spanning five decades. He addressed fundamental strategic questions in a 1954 book The
Practice of Management writing: "... the first responsibility of top management is to ask the
question 'what is our business?' and to make sure it is carefully studied and correctly answered." He
wrote that the answer was determined by the customer. He recommended eight areas where
objectives should be set, such as market standing, innovation, productivity, physical and financial
resources, worker performance and attitude, profitability, manager performance and development,
and public responsibility.[26]
In 1957, Philip Selznick initially used the term "distinctive competence" in referring to how the Navy
was attempting to differentiate itself from the other services.[5] He also formalized the idea of
matching the organization's internal factors with external environmental circumstances.[27] This core
idea was developed further by Kenneth R. Andrews in 1963 into what we now call SWOT analysis, in
which the strengths and weaknesses of the firm are assessed in light of the opportunities and
threats in the business environment.[5]
Alfred Chandler recognized the importance of coordinating management activity under an all-
encompassing strategy. Interactions between functions were typically handled by managers who
relayed information back and forth between departments. Chandler stressed the importance of
taking a long term perspective when looking to the future. In his 1962 ground breaking
work Strategy and Structure, Chandler showed that a long-term coordinated strategy was necessary
to give a company structure, direction and focus. He says it concisely, "structure follows strategy."
Chandler wrote that:

strategic management involves the formulation and implementation of the major goals and
initiatives taken by an organization's top management on behalf of owners, based on consideration
of resources and an assessment of the internal and external environments in which the organization
operates.[1][need quotation to verify][2][3]
Strategic management provides overall direction to an enterprise and involves specifying the
organization's objectives, developingpolicies and plans to achieve those objectives, and then
allocating resources to implement the plans. [4] Academics and practicing managers have developed
numerous models and frameworks to assist in strategic decision-making in the context of complex
environments and competitive dynamics.[5] Strategic management is not static in nature; the models
often[quantify] include a feedback loop to monitor execution and to inform the next round of
planning.[6][7][8]
Michael Porter identifies three principles underlying strategy:[9]

 creating a "unique and valuable [market] position"

 making trade-offs by choosing "what not to do"
 creating "fit" by aligning company activities with one another to support the chosen strategy
Corporate strategy involves answering a key question from a portfolio perspective: "What business
should we be in?" Business strategy involves answering the question: "How shall we compete in this
business?"[10]
Management theory and practice often make a distinction between strategic management
and operational management, with operational management concerned primarily with improving
efficiency and controlling costs within the boundaries set by the organization's strategy.[citation needed]

MBA 577 (SALES MANAGEMENT)

Q-1. Distinguish between the job description and the personnel specification.
Ans- An unfair labor practice in US labor law refers to certain actions taken by employers or unions
that violate the National Labor Relations Act of 1935 (49 Stat. 449) 29 U.S.C. § 151–169 (also known
as the NLRA and the Wagner Act after NY Senator Robert F. Wagner[1]) and other legislation. Such
acts are investigated by the National Labor Relations Board(NLRB).[2]

Definition of "unfair labor practice"[edit]

The NLRB has the authority to investigate and remedy unfair labor practices, which are defined in
Section 8 of the Act. In broad terms, the NLRB makes it unlawful for an employer to:

 interfere with two or more employees acting in concert to protect rights provided for in the Act,
whether or not a union exists
 to dominate or interfere with the formation or administration of a labor organization
 to discriminate against an employee from engaging in concerted or union activities or refraining
from them
 to discriminate against an employee for filing charges with the NLRB or taking part in any NLRB
proceedings
 to refuse to bargain with the union that is the lawful representative of its employees
The Act similarly bars unions from:

 restraining or coercing employees in the exercise of their rights or an employer in the choice of
its bargaining representative
 causing an employer to discriminate against an employee
 refusing to bargain with the employer of the employees it represents
 engaging in certain types of secondary boycotts
 requiring excessive dues
 engaging in featherbedding (requiring an employer to pay for unneeded workers)
 picketing for recognition for more than thirty days without petitioning for an election
 entering into "hot cargo" agreements (refusing to handle goods from an anti-union employer)
 striking or picketing a health care establishment without giving the required notice
Applying this general language to the real world requires, in the words of Supreme
Court Justice Felix Frankfurter, "distinctions more nice than obvious". The substantive law applied by
the NLRB is described elsewhere under specific headings devoted to particular topics.
Not every unfair act amounts to an unfair labor practice; as an example, failing to pay an individual
worker overtime pay for hours worked in excess of forty hours in a week might be a violation of
the Fair Labor Standards Act, but it is unlikely to amount to an unfair labor practice as well. Similarly,
a violation of a collective bargaining agreement, standing alone, may not constitute an unfair labor
practice unless the employer has not only violated the contract but repudiated all or part of it.

Filing of a charge[edit]
While the employees of the NLRB may assist individuals in filing charges, the employees of the NLRB
cannot file charges on their own. Under the Act, "any person" (except an employee of the Board)
may file a charge with the NLRB.
Such charges must be filed and served within six months of the events that constitute the basis of
the charge. This deadline may be extended in some cases, e.g., if the party fraudulently conceals its
violations of the law. Charges may also be amended if done so within six months of the alleged
violation.

Investigation and processing of the charge[edit]

The General Counsel of the NLRB is responsible for investigating unfair labor practice charges and
making the decision whether to issue a complaint. This job is delegated to the Regional Director of
the region of the NLRB in which the charge has been filed; the Regional Director in turn assigns it to
an employee of the region. It is the responsibility of the charging party to identify the witnesses who
can support its charge; should it fail to do so the Regional Director will typically dismiss the charge.
The Regional Director generally seeks to reach a decision as to whether to issue a complaint or to
dismiss the charge within thirty days of the filing of the charge. The Region may also ask the
charging party to amend its charge to eliminate unsupported claims in an otherwise meritorious
charge or to add new claims uncovered by the Region in the course of its investigation.
A party unsatisfied with the Regional Director's decision to dismiss its charge can appeal the
dismissal to the office of the General Counsel. The General Counsel's decision to dismiss a charge is
not subject to further appeal and cannot be challenged in court.
If the issues raised by an unfair labor practice charge could also be resolved through the grievance
and arbitration procedure of the collective bargaining agreement covering these employees, then
the General Counsel may defer the case to arbitration. In those cases the General Counsel does not
dismiss the charge, but holds it in abeyance while the parties to the contract arbitrate their
contractual dispute.
Issuance of complaint and settlement[edit]
If the Region finds merit in the charge it will file a formal complaint setting out the violations of the
law allegedly committed by the respondent. While the Act requires that the original unfair labor
practice be filed within six months, there is no comparable statute of limitations for issuance of a
complaint. The complaint may also be amended in some circumstances to include other alleged
violations of the Act not specified in an unfair labor practice charge.
The Region will usually renew its attempts to settle the matter after it has made the decision to
issue complaint but before it has actually done so. It can settle unfair labor practice charges
unilaterally, i.e., without the agreement of the charging party.
The Board draws a distinction between formal and informal settlements, i.e., those that call for
issuance of a formal Board order and those that do not. A party unhappy with the Regional
Director's settlement of its unfair labor practice charges can appeal a formal settlement to the
Board itself, which must approve any formal settlement in any case, but can only appeal an informal
settlement to the General Counsel.
The Board will set aside an informal settlement agreement if the employer violates the agreement
or commits other violations of the Act after the agreement. The Board can, by contrast, enforce a
formal settlement like any other Board order by petitioning the Court of Appeals for an order
enforcing it.
The Board will also accept non-Board settlements, in which the charging party withdraws its charge
in return for promises from the other side. The Board is not, however, obliged to accept the parties'
settlement agreement or to allow withdrawal of the charge.

Interim injunctive relief[edit]

If the General Counsel believes that there is cause to issue complaint, then he can seek injunctive
relief from a federal district court under Section 10(j) of the Act. Injunctive relief is usually ordered
when necessary to preserve the status quo pending the Board's decision on the complaint or to
prevent employees from suffering irreparable harm. Any injunction lapses once the NLRB issues its
decision.
The General Counsel does not have to prove that the allegations in the complaint are well-founded,
but only that he has some evidence, together with an arguable legal theory, to support his claims.
Even so, the General Counsel rarely uses this power to seek relief while complaints are pending,
other than in secondary boycott cases, in which the Act commands the General Counsel to seek
injunctive relief.

Hearing and decision[edit]

If the case is not settled following issuance of a complaint, then the case will proceed to hearing
before an Administrative Law Judge of the NLRB. The Regional Director has the power to issue
subpoenas for use by any party prior to the hearing; the Administrative Law Judge has that power
once the hearing commences. The hearing is governed by the same rules of evidence that would
apply in a federal court trial.
The General Counsel functions as the prosecutor in these proceedings. Just as only the General
Counsel can decide whether to issue a complaint, the General Counsel has exclusive authority to
decide what charges to pursue. Interested parties may, however, intervene in these proceedings to
present evidence or offer alternative theories in support of the charges that the General Counsel
has alleged and to seek additional or different remedies than those that the General Counsel has
proposed.
The Administrative Law Judge issues a recommended decision, which becomes final if not appealed
to the NLRB. While the Administrative Law Judge's credibility determinations are ordinarily given
great weight by the Board, they are not binding on it. The Board likewise is free to substitute its own
view of the law for that of the Administrative Law Judge and frequently reverses its own precedents.

Review by the courts[edit]

A party that is aggrieved by a decision of the NLRB can seek review by petitioning in the Court of
Appeals. The Act gives parties a good deal of latitude as to which court they want to hear their case:
either the Circuit in which the hearing was held or the Circuit Court of Appeals for the District of
Columbia or any Circuit in which one of the parties against whom the complaint was brought resides
or does business. The NLRB, as a matter of policy, only petitions in the Circuit in which the hearing
was held.
The NLRB's decisions are not self-executing: it must seek court enforcement in order to force a
recalcitrant party to comply with its orders. The Court of Appeal reviews the Board's decision to
determine if it is supported by substantial evidence and based on a correct view of the law.
While the courts are obligated in theory to give deference to the NLRB's interpretation of the Act,
they do not always do so. The court may direct the NLRB to reconsider its decision or reverse it
outright if it is convinced that the Board is in error. The court may also reverse Board actions that it
considers to be an abuse of the NLRB's discretion, typically in the choice of remedies to be applied.
Any aggrieved party may also ask the Supreme Court to review a decision of the Court of Appeals.
Such review by the Supreme Court is, however, discretionary and rarely granted.

Compliance[edit]
If the Court of Appeals enforces the Board's order then the case will return to the Region for it to
monitor the respondent's compliance. In those cases in which the Board's order requires payment
of backpay, the Region will commence compliance proceedings if it is not able to resolve all disputes
over the amount of backpay. These compliance proceedings are also held before an Administrative
Law Judge, based on the compliance specification filed by the Region. The same procedural rights
apply in these proceedings as in the earlier proceedings on the merits of the charge.

Q-2. What is meant by the USP? How is it of use to the salesperson?

Ans- Trade Unions in India are registered and file annual returns under the Trade Union Act (1926).
Statistics on Trade Unions are collected annually by the Labour Bureau of the Ministry of Labour,
Government of India. As per the latest data, released for 2012, there were 16,154 trade unions
which had a combined membership of 9.18 million (based on returns from 15 States - out of a total
of 36 States).[1] The Trade Union movement in India is largely divided along political lines and follows
a pre-Independence pattern of overlapping interactions between political parties and unions. The
net result of this type of system is debated as it has both advantages and disadvantages.
The firm or industry level trade unions are often affiliated to larger Federations. The largest
Federations in the country represent labour at the National level and are known as Central Trade
Union Organisations (CTUO). As of 2002, when the last Trade Union verification was carried out,
there are 12 CTUOs recognised by the Ministry of Labour.[2
The setting up of textile and clothing mills around the port cities of Bombay (now Mumbai), Calcutta
(now Kolkata), Madras (now Chennai) and Surat in the second half of the 19th century led to the
beginnings of the industrial workforce in India. Several incidents of strikes and protests by workers
have been recorded during this time. The credit for the first association of Indian workers is
generally given to the Bombay Mill-Hands Association founded by N.M. Lokhande in 1890. This was
in the period just after the passing of the 'First' Factories Act in 1881 by the British Government of
the time. The following years saw the formation of several labour associations and unions. The first
clearly registered trade-union is considered to be the Madras Labour Union founded by B.P.
Wadia in 1918, while the first trade union federation to be set up was the All India Trade Union
Congress in 1920.
Following the rapid growth of unions around the time of the First World War, the Russian
Revolution and the setting up of the ILO - industrial conflict began to increase and over 1,000 strikes
were recorded between 1920 and 1924. The waves of strikes boiled over with the arrest of
prominent leaders and trade-unionists in the infamous 'Cawnpore Conspiracy case' in 1924 with the
union leaders being arrested and accused of attempting a Communist revolution to try and
overthrow the ruling British government. Subsequently, the Trade Union Act (1926)was passed
which created the rules for the regulation and closer monitoring of Trade Unions. In the first year of
the law's operation, 28 unions registered and submitted returns with a total membership
100,619.[3] The number of unions grew rapidly after that and by the time of Independence of
India in 1947, there were 2,766 unions registered which had a combined membership of over 1.66
million. This resulted in a wide influence of unions and workers' organisations and led to significantly
favourable social legislation being enacted in the first decade of Independence. Several important
labour laws were passed during this time.
Independence (1947) to Liberalisation (1991)[edit]
Following its Independence in 1947 and the formation of the Republic in 1950, India largely followed
a Socialist economic approach encouraging public sector employment and pro-worker legislations.
The trade-union movement reflected the main political divisions of the time and was divided mainly
along Socialist and Communist lines. The subsequent decades saw significant expansion in trade
union membership with the number of active unions reaching its peak in the mid-1970s and mid-
1980s. While the 1970s in India was a period characterised by political instability, the 1980s was
characterised by the beginnings of a distinct turn towards more market-friendly policies, support for
industrialists and an implicit opposition to workers. Two key events during this period were the 1974
railway strike in India and the Great Bombay textile strike of 1982, the latter of which subsequently
led to a long and complicated stalemate.
Liberalisation (1991) to Present[edit]
The period following the Economic liberalisation in 1991 was characterised by declining government
intervention in the economy, a decline in the creation of public sector employment and
encouragement for the private sector. Efforts for unionisation in the private sectors were often met
with opposition and the wider general withdrawal of State support for workers further undermined
their bargaining power. These policies led to a stagnation in the number of unionised formal sector
workers.
A gradual shift in focus about the importance of the Informal sector and 'Informal employment in
the formal sector' from the late 1990s onwards meant that trade unions also began to focus on
these workers. This has led to greater enrolment of these workers and subsequently led to increases
in union membership. The Central Trade Union Organisations (CTU's) increased their combined
membership from 13.21 million in 1989 to 24.85 million in 2002. Almost all the CTUOs now have at
least 20 percent of their official members coming from the informal sector.

Central Trade Union Organisations (CTUOs) of India[edit]

Local, firm-level or industry-level trade unions are often affiliated to larger Federations. The largest
Federations in the country represent labour at the National level and are known as Central Trade
Union Organisations (CTU or CTUO). To acquire status as a CTUO, a trade union federation must
have a verified membership of at least 500,000 workers who are spread over a minimum of four
states and four industries (including agriculture). Trade-union membership verification is usually
done once in a decade and an updated verification with new criteria is currently underway, with
2011 as the reference year.[4] Complications around membership verification have existed due to
discrepancies between membership claimed by the unions and actual members. These
complications have increased in recent years following the wider inclusion of informal sector
workers in union membership data.
The following is a list of national-level CTUOs as recognised by the Ministry of Labour, Government
of India. The list is for the reference year 2002 whose verification was completed in 2008. The
political affiliation of the union federation is mentioned in brackets.
(In alphabetical order.)

1. AICCTU - All India Central Council of Trade Unions (Communist Party of India (Marxist-
Leninist) Liberation)
2. AITUC - All India Trade Union Congress (Communist Party of India)
3. AIUTUC - All India United Trade Union Centre (Socialist Unity Centre of India (Communist))
4. BMS - Bharatiya Mazdoor Sangh (Rashtriya Swayamsevak Sangh, wing of Bharatiya Janata
Party)
5. CITU - Centre of Indian Trade Unions (Communist Party of India (Marxist))
6. HMS - Hind Mazdoor Sabha (Unaffiliated)
7. INTUC - Indian National Trade Union Congress (Indian National Congress)
8. LPF - Labour Progressive Federation (Dravida Munnetra Kazhagam)
9. NFITU - National Front of Indian Trade Unions (Unaffiliated [5])
10. SEWA - Self Employed Women's Association (Unaffiliated)
 11. TUCC - Trade Union Coordination Centre [Independent]
12. UTUC - United Trade Union Congress (Revolutionary Socialist Party)

The INTUC (Indian National Trade Union Congress) was the largest union in terms of absolute
numbers till 2007. From 2008, as per the 2002 round of verification, the BMS (Bharatiya Mazdoor
Sangh) is the largest trade union federation having a verified membership of around 6.2 million.

Other Trade Unions and Centres[edit]

(Incomplete list, In Alphabetical order)

 Akhil Bharatiya Kamgar Sena (Akhil Bharatiya Sena)

 All India Workers Trade Union (Affiliated to PWPI i.e. Progressive Workers and Peasants of India)
 All India Insurance Workers Union (Affiliated to PWPI i.e Progressive Workers and Peasants of
India)
 All India Bank Officers' Confederation
 All India Centre of Trade Unions (Marxist Communist Party of India (United))
 All India Federation of Trade Unions (Marxist-Leninists)
 All India Railwaymen's Federation (AIRF) ([2]) (affiliated with Hind Mazdoor Sabha)
 Andhra Pradesh Federation of Trade Unions (Communist Party of India (Marxist-Leninist))
 “A trade union is a combination of persons. Whether temporary or permanent, primarily for
the purpose of regulating the relations between workers and employers or between workers
for imposing restrictive conditions on the conduct of any trade or business and includes the
federations of two or more trade unions as per Sec. 2 (6) Trade Unions Act, 1926.

 “A Trade Union is an organisation of workers, acting collectively, who seek to protect and
promote their mutual interests through collective bargaining”.

Q-3. What is e–commerce? E- Commerce can take place at four levels. Discuss each of the four levels.
Ans- The Industrial Disputes Act 1947 extends to the whole of India and regulates Indian labour
law so far as that concerns trade unions as well as Individual workman employed in any Industry
within the territory of Indian mainland. It came into force April 1, 1947.

Objectives
The objective of the Industrial Disputes Act is to secure industrial peace and harmony by providing
machinery and procedure for the investigation and settlement of industrial disputesby conciliation,
arbitration and adjudication machinery which is provided under the statute. The main and ultimate
objective of this act is "Maintenance of Peaceful work culture in the Industry in India" which is
clearly provided under the Statement of Objects & Reasons of the statute.
The laws apply only to the organised sector. Chapter V talks about the most important and often in
news topic of 'Strikes and Lockouts'. It talks about the Regulation of strikes and lockouts and the
proper procedure which is to be followed to make it a Legal instrument of 'Economic Coercion'
either by the Employer or by the Workmen. Chapter V-B, introduced by an amendment in 1976,
requires firms employing 300 or more workers to obtain government permission for layoffs,
retrenchments and closures. A further amendment in 1982 (which took effect in 1984) expanded its
ambit by reducing the threshold to 100 workers.
The Act also lays down:

1. The provision for payment of compensation to the workman on account of closure or lay off
or retrenchment.
2. The procedure for prior permission of appropriate Government for laying off or retrenching
the workers or closing down industrial establishments
3. Unfair labour practices on part of an employer or a trade union or workers.

Applicability
The Industrial Disputes Act extends to whole of India and applies to every Industry and its various
industrial establishment carrying on any business, trade, manufacture or distribution of goods and
services irrespective of the number of workmen employed therein.
Every person employed in an establishment for hire or reward including contract
labour, apprentices and part-time employees to do any manual, clerical, skilled, unskilled, technical,
operational or supervisory work, is covered by the Act.
This Act though does not apply to persons mainly in managerial or administrative capacity, persons
engaged in a supervisory capacity and drawing > 10,000 p.m or executing managerial functions and
persons subject to Army Act, Air Force and Navy Act or those in police service or officer or employee
of a prison

This machinery comprises following organs:

1. Conciliation

2. Court of enquiry

ADVERTISEMENTS:

3. Voluntary arbitration

4. Adjudication (Compulsory arbitration).

1. Conciliation:
Conciliation, is a form of mediation. Mediation is the act of making active effort to bring two
conflicting parties to compromise. Mediation, however, differs from conciliation in that whereas
conciliator plays only a passive and indirect role, and the scope of his functions is provided under
the law, the mediator takes active part and the scope of his activities are not subject to any
statutory provisions.

Conciliation is the “practice by which the services of a neutral party are used in a dispute as a means
of helping the disputing parties to reduce the extent of their differences and to arrive at an amicable
settlement of agreed solution.”

The Industrial Disputes Act, 1947 provides for conciliation, and can be utilised either by appointing
conciliation officers (permanently or for a limited period) or by constituting a board of conciliation.
This conciliation machinery can take a note of a dispute or apprehend dispute either on its own or
when approached by either party.

With a view to expediting conciliation proceeding, time-limits have been prescribed—14 days in the
case of conciliation officers and two months in the case of a board of conciliation, settlement
arrived at in the course of conciliation is binding for such period as may be agreed upon between
the parties or for a period of 6 months and with continue to be binding until revoked by either
party. The Act prohibits strike and lock-out during the pendency of conciliation proceedings before a
Board and for seven days after the conclusion of such proceedings.

Conciliation Officer:
The law provides for the appointment of Conciliation Officer by the Government to conciliate
between the parties to the industrial dispute. The Conciliation Officer is given the powers of a civil
court, whereby he is authorised to call the witness the parties on oath. It should be remembered,
however, whereas civil court cannot go beyond interpreting the laws, the conciliation officer can go
behind the facts and make judgment which will be binding upon the parties.

On receiving information about a dispute, the conciliation officer should give formal intimation in
writing to the parties concerned of his intention to commence conciliation proceedings from a
specified date. He should then start doing all such things as he thinks fit for the purpose of
persuading the parties to come to fair and amicable settlement of the dispute.
Conciliation is an art where the skill, tact, imagination and even personal influence of the
conciliation officer affect his success. The Industrial Disputes Act, therefore, does not prescribe any
procedure to the followed by him.

ADVERTISEMENTS:

The conciliation officer is required to submit his report to the appropriate government along with
the copy of the settlement arrived at in relation to the dispute or in case conciliation has failed, he
has to send a detailed report giving out the reasons for failure of conciliation.

The report in either case must be submitted within 14 days of the commencement of conciliation
proceedings or earlier. But the time for submission of the report may be extended by an agreement
in writing of all the parties to the dispute subject to the approval of the conciliation officer.

If an agreement is reached (called the memorandum of settlement), it remains binding for such
period as is agreed upon by the parties, and if no such period is agreed upon, for a period of six
months from the date on which the memorandum of settlement is signed by the parties to the
dispute, and continues to be binding on the parties after the expiry of the period aforesaid, until the
expiry of two months from the date on which a notice in writing of an intention to terminate the
settlement is given by one of the party or parties to the settlement.

Board of Conciliation:
In case Conciliation Officer fails to resolve the differences between the parties, the government has
the discretion to appoint a Board of Conciliation. The Board is tripartite and ad hoc body. It consists
of a chairman and two or four other members.

The chairman is to be an independent person and other members are nominated in equal number
by the parties to the dispute. Conciliation proceedings before a Board are similar to those that take
place before the Conciliation Officer. The Government has yet another option of referring the
dispute to the Court of Inquiry instead of the Board of Conciliation.
The machinery of the Board is set in motion when a dispute is referred to it. In other words, the
Board does not hold the conciliation proceedings of its own accord. On the dispute being referred to
the Board, it is the duty of the Board to do all things as it thinks fit for the purpose of inducing the
parties to come to a fair and amicable settlement. The Board must submit its report to the
government within two months of the date on which the dispute was referred to it. This period can
be further extended by the government by two months.

2. Court of Inquiry:
In case of the failure of the conciliation proceedings to settle a dispute, the government can appoint
a Court of Inquiry to enquire into any matter connected with or relevant to industrial dispute. The
court is expected to submit its report within six months. The court of enquiry may consist of one or
more persons to be decided by the appropriate government.

The court of enquiry is required to submit its report within a period of six months from the
commencement of enquiry. This report is subsequently published by the government within 30 days
of its receipt. Unlike during the period of conciliation, workers’ right to strike, employers’ right to
lockout, and employers’ right to dismiss workmen, etc. remain unaffected during the proceedings in
a court to enquiry.

A court of enquiry is different from a Board of Conciliation. The former aims at inquiring into and
revealing the causes of an industrial dispute. On the other hand, the latter’s basic objective is to
promote the settlement of an industrial dispute. Thus, a court of enquiry is primarily fact-finding
machinery.

3. Voluntary Arbitration:
On failure of conciliation proceedings, the conciliation officer many persuade the parties to refer the
dispute to a voluntary arbitrator. Voluntary arbitration refers to getting the disputes settled through
an independent person chosen by the parties involved mutually and voluntarily.

In other words, arbitration offers an opportunity for a solution of the dispute through an arbitrator
jointly appointed by the parties to the dispute. The process of arbitration saves time and money of
both the parties which is usually wasted in case of adjudication.
Voluntary arbitration became popular as a method a settling differences between workers and
management with the advocacy of Mahatma Gandhi, who had applied it very successfully in the
Textile industry of Ahmedabad. However, voluntary arbitration was lent legal identity only in 1956
when Industrial Disputes Act, 1947 was amended to include a provision relating to it.

The provision for voluntary arbitration was made because of the lengthy legal proceedings and
formalities and resulting delays involved in adjudication. It may, however, be noted that arbitrator is
not vested with any judicial powers.

He derives his powers to settle the dispute from the agreement that parties have made between
themselves regarding the reference of dispute to the arbitrator. The arbitrator should submit his
award to the government. The government will then publish it within 30 days of such submission.
The award would become enforceable on the expiry of 30 days of its publication.

Voluntary arbitration is one of the democratic ways for setting industrial disputes. It is the best
method for resolving industrial conflicts and is a close’ supplement to collective bargaining. It not
only provides a voluntary method of settling industrial disputes, but is also a quicker way of settling
them.

It is based on the notion of self-government in industrial relations. Furthermore, it helps to curtail

the protracted proceedings attendant on adjudication, connotes a healthy attitude and a developed
outlook; assists in strengthening the trade union movement and contributes for building up sound
and cordial industrial relations.

4. Adjudication:
The ultimate remedy for the settlement of an industrial dispute is its reference to adjudication by
labour court or tribunals when conciliation machinery fails to bring about a settlement. Adjudication
consists of settling disputes through intervention by the third party appointed by the government.
The law provides the adjudication to be conducted by the Labour Court, Industrial Tribunal of
National Tribunal.
A dispute can be referred to adjudication if hot the employer and the recognised union agree to do
so. A dispute can also be referred to adjudication by the Government even if there is no consent of
the parties in which case it is called ‘compulsory adjudication’. As mentioned above, the dispute can
be referred to three types of tribunals depending on the nature and facts of dispute in questions.

These include:
(a) Labour courts,

(b) Industrial tribunals, and

(c) National tribunals.

The procedure, powers, and provisions regarding commencement of award and period of operation
of award of these three bodies are similar. The first two bodies can be set up either by State or
Central Government but the national tribunal can be constituted by the Central Government only,
when it thinks that the adjudication of a dispute is of national importance. These three bodies are
into hierarchical in nature. It is the Government’s prerogative to refer a dispute to any of these
bodies depending on the nature of dispute.

(а) Labour Court:

A labour court consists of one person only, who is normally a sitting or an ex-judge of a High Court.
It may be constituted by the appropriate Government for adjudication of disputes which are
mentioned in the second schedule of the Act.

The issues referred to a labour court may include:

(i)The propriety or legality of an order passed by an employer under the Standing Orders.

(ii) The application and interpretation of Standing Orders.

(iii) Discharge and dismissal of workmen and grant of relief to them.

(iv) Withdrawal of any statutory concession or privilege.

(v) Illegality or otherwise of any strike or lockout.

(vi) All matters not specified in the third schedule of Industrial Disputes Act, 1947. (It deals with the
jurisdiction of Industrial Tribunals)

(b) Industrial Tribunal:

Like a labour court, an industrial tribunal is also a one-man body. The matters which fall within the
jurisdiction of industrial tribunals are as mentioned in the second schedule or the third schedule of
the Act. Obviously, industrial tribunals have wider jurisdiction than the labour courts.

Moreover an industrial tribunal, in addition to the presiding officer, can have two assessors to
advise him in the proceedings; the appropriate Government is empowered to appoint the assessors.

The Industrial Tribunal may be referred the following issues:

1. Wages including the period and mode of payment.

2. Compensatory and other allowances.

Q-4. What is meant by this statement in terms of how TQM can affect the selling function?

Ans- This Act though does not apply to persons mainly in managerial or administrative capacity,
persons engaged in a supervisory capacity and drawing > 10,000 p.m or executing managerial
functions and persons subject to Army Act, Air Force and Navy Act or those in police service or
officer or employee of a prison

This machinery comprises following organs:

1. Conciliation

2. Court of enquiry

ADVERTISEMENTS:

3. Voluntary arbitration

4. Adjudication (Compulsory arbitration).

1. Conciliation:
Conciliation, is a form of mediation. Mediation is the act of making active effort to bring two
conflicting parties to compromise. Mediation, however, differs from conciliation in that whereas
conciliator plays only a passive and indirect role, and the scope of his functions is provided under
the law, the mediator takes active part and the scope of his activities are not subject to any
statutory provisions.

Conciliation is the “practice by which the services of a neutral party are used in a dispute as a means
of helping the disputing parties to reduce the extent of their differences and to arrive at an amicable
settlement of agreed solution.”

The Industrial Disputes Act, 1947 provides for conciliation, and can be utilised either by appointing
conciliation officers (permanently or for a limited period) or by constituting a board of conciliation.
This conciliation machinery can take a note of a dispute or apprehend dispute either on its own or
when approached by either party.

With a view to expediting conciliation proceeding, time-limits have been prescribed—14 days in the
case of conciliation officers and two months in the case of a board of conciliation, settlement
arrived at in the course of conciliation is binding for such period as may be agreed upon between
the parties or for a period of 6 months and with continue to be binding until revoked by either
party. The Act prohibits strike and lock-out during the pendency of conciliation proceedings before a
Board and for seven days after the conclusion of such proceedings.

Conciliation Officer:
The law provides for the appointment of Conciliation Officer by the Government to conciliate
between the parties to the industrial dispute. The Conciliation Officer is given the powers of a civil
court, whereby he is authorised to call the witness the parties on oath. It should be remembered,
however, whereas civil court cannot go beyond interpreting the laws, the conciliation officer can go
behind the facts and make judgment which will be binding upon the parties.

On receiving information about a dispute, the conciliation officer should give formal intimation in
writing to the parties concerned of his intention to commence conciliation proceedings from a
specified date. He should then start doing all such things as he thinks fit for the purpose of
persuading the parties to come to fair and amicable settlement of the dispute.

Conciliation is an art where the skill, tact, imagination and even personal influence of the
conciliation officer affect his success. The Industrial Disputes Act, therefore, does not prescribe any
procedure to the followed by him.

ADVERTISEMENTS:

The conciliation officer is required to submit his report to the appropriate government along with
the copy of the settlement arrived at in relation to the dispute or in case conciliation has failed, he
has to send a detailed report giving out the reasons for failure of conciliation.

The report in either case must be submitted within 14 days of the commencement of conciliation
proceedings or earlier. But the time for submission of the report may be extended by an agreement
in writing of all the parties to the dispute subject to the approval of the conciliation officer.

If an agreement is reached (called the memorandum of settlement), it remains binding for such
period as is agreed upon by the parties, and if no such period is agreed upon, for a period of six
months from the date on which the memorandum of settlement is signed by the parties to the
dispute, and continues to be binding on the parties after the expiry of the period aforesaid, until the
expiry of two months from the date on which a notice in writing of an intention to terminate the
settlement is given by one of the party or parties to the settlement.

Board of Conciliation:
In case Conciliation Officer fails to resolve the differences between the parties, the government has
the discretion to appoint a Board of Conciliation. The Board is tripartite and ad hoc body. It consists
of a chairman and two or four other members.

The chairman is to be an independent person and other members are nominated in equal number
by the parties to the dispute. Conciliation proceedings before a Board are similar to those that take
place before the Conciliation Officer. The Government has yet another option of referring the
dispute to the Court of Inquiry instead of the Board of Conciliation.

The machinery of the Board is set in motion when a dispute is referred to it. In other words, the
Board does not hold the conciliation proceedings of its own accord. On the dispute being referred to
the Board, it is the duty of the Board to do all things as it thinks fit for the purpose of inducing the
parties to come to a fair and amicable settlement. The Board must submit its report to the
government within two months of the date on which the dispute was referred to it. This period can
be further extended by the government by two months.

2. Court of Inquiry:
In case of the failure of the conciliation proceedings to settle a dispute, the government can appoint
a Court of Inquiry to enquire into any matter connected with or relevant to industrial dispute. The
court is expected to submit its report within six months. The court of enquiry may consist of one or
more persons to be decided by the appropriate government.

The court of enquiry is required to submit its report within a period of six months from the
commencement of enquiry. This report is subsequently published by the government within 30 days
of its receipt. Unlike during the period of conciliation, workers’ right to strike, employers’ right to
lockout, and employers’ right to dismiss workmen, etc. remain unaffected during the proceedings in
a court to enquiry.

A court of enquiry is different from a Board of Conciliation. The former aims at inquiring into and
revealing the causes of an industrial dispute. On the other hand, the latter’s basic objective is to
promote the settlement of an industrial dispute. Thus, a court of enquiry is primarily fact-finding
machinery.

3. Voluntary Arbitration:
On failure of conciliation proceedings, the conciliation officer many persuade the parties to refer the
dispute to a voluntary arbitrator. Voluntary arbitration refers to getting the disputes settled through
an independent person chosen by the parties involved mutually and voluntarily.
In other words, arbitration offers an opportunity for a solution of the dispute through an arbitrator
jointly appointed by the parties to the dispute. The process of arbitration saves time and money of
both the parties which is usually wasted in case of adjudication.

Voluntary arbitration became popular as a method a settling differences between workers and
management with the advocacy of Mahatma Gandhi, who had applied it very successfully in the
Textile industry of Ahmedabad. However, voluntary arbitration was lent legal identity only in 1956
when Industrial Disputes Act, 1947 was amended to include a provision relating to it.

The provision for voluntary arbitration was made because of the lengthy legal proceedings and
formalities and resulting delays involved in adjudication. It may, however, be noted that arbitrator is
not vested with any judicial powers.

He derives his powers to settle the dispute from the agreement that parties have made between
themselves regarding the reference of dispute to the arbitrator. The arbitrator should submit his
award to the government. The government will then publish it within 30 days of such submission.
The award would become enforceable on the expiry of 30 days of its publication.

Voluntary arbitration is one of the democratic ways for setting industrial disputes. It is the best
method for resolving industrial conflicts and is a close’ supplement to collective bargaining. It not
only provides a voluntary method of settling industrial disputes, but is also a quicker way of settling
them.

It is based on the notion of self-government in industrial relations. Furthermore, it helps to curtail

the protracted proceedings attendant on adjudication, connotes a healthy attitude and a developed
outlook

Q-5. Discuss the contribution that the WTO has made to a freeing up of international sales
negotiations.

Ans- A trade union, also called a labour union (Canada) or labor union (US), is an organization of
workers who have come together to achieve many common goals, such as protecting the integrity
of its trade, improving safety standards, and attaining better wages, benefits (such as vacation,
health care, and retirement), and working conditions through the increased bargaining power
wielded by the creation of a monopoly of the workers.[1] The trade union, through its leadership,
bargains with the employer on behalf of union members (rank and file members) and
negotiates labour contracts (collective bargaining) with employers. The most common purpose of
these associations or unions is "maintaining or improving the conditions of
their employment".[2] This may include the negotiation of wages, work rules, complaint procedures,
rules governing hiring, firing and promotion of workers, benefits, workplace safety and policies.
Unions may organize a particular section of skilled workers (craft unionism),[3] a cross-section of
workers from various trades (general unionism), or attempt to organize all workers within a
particular industry (industrial unionism). The agreements negotiated by a union are binding on the
rank and file members and the employer and in some cases on other non-member workers. Trade
unions traditionally have a constitution which details the governance of their bargaining unit and
also have governance at various levels of government depending on the industry that binds them
legally to their negotiations and functioning.
Originating in Great Britain, trade unions became popular in many countries during the Industrial
Revolution. Trade unions may be composed of individual workers, professionals, past workers,
students, apprentices or the unemployed. Trade union density, or the percentage of workers
belonging to a trade union, is highest in the Nordic countries.[4]
Since the publication of the History of Trade Unionism (1894) by Sidney and Beatrice Webb, the
predominant historical view is that a trade union "is a continuous association of wage earners for
the purpose of maintaining or improving the conditions of their employment." [2] Karl Marx described
trade unions thus: "The value of labour-power constitutes the conscious and explicit foundation of
the trade unions, whose importance for the […] working class can scarcely be overestimated. The
trade unions aim at nothing less than to prevent the reduction of wages below the level that is
traditionally maintained in the various branches of industry. That is to say, they wish to prevent the
price of labour-power from falling below its value" (Capital V1, 1867, p. 1069).
A modern definition by the Australian Bureau of Statistics states that a trade union is "an
organization consisting predominantly of employees, the principal activities of which include the
negotiation of rates of pay and conditions of employment for its members."[5]
Yet historian R.A. Leeson, in United we Stand (1971), said:
Two conflicting views of the trade-union movement strove for ascendancy in the nineteenth
century: one the defensive-restrictive guild-craft tradition passed down through journeymen's clubs
and friendly societies, ... the other the aggressive-expansionist drive to unite all 'labouring men and
women' for a 'different order of things'.
Recent historical research by Bob James in Craft, Trade or Mystery (2001) puts forward the view that
trade unions are part of a broader movement of benefit societies, which includes medieval
guilds, Freemasons, Oddfellows, friendly societies, and other fraternal organizations.
The 18th century economist Adam Smith noted the imbalance in the rights of workers in regards to
owners (or "masters"). In The Wealth of Nations, Book I, chapter 8, Smith wrote:
We rarely hear, it has been said, of the combination of masters, though frequently of those of
workmen. But whoever imagines, upon this account, that masters rarely combine, is as ignorant of
the world as of the subject. Masters are always and everywhere in a sort of tacit, but constant and
uniform combination, not to raise the wages of labor above their actual rate[.]
When workers combine, masters ... never cease to call aloud for the assistance of the civil
magistrate, and the rigorous execution of those laws which have been enacted with so much
severity against the combination of servants, labourers and journeymen.
As Smith noted, unions were illegal for many years in most countries, although Smith argued that it
should remain illegal to fix wages or prices by employees or employers. There were severe penalties
for attempting to organize unions, up to and including execution. Despite this, unions were formed
and began to acquire political power, eventually resulting in a body of labour law that not only
legalized organizing efforts, but codified the relationship between employers and those employees
organized into unions.
National general unions[edit]

Poster issued by the London Trades Counil, advertising a demonstration held on 2 June 1873
The first attempts at setting up a national general union were made in the 1820s and 30s.
The National Association for the Protection of Labour was established in 1830 by John Doherty, after
an apparently unsuccessful attempt to create a similar national presence with the National Union of
Cotton-spinners. The Association quickly enrolled approximately 150 unions, consisting mostly of
textile related unions, but also including mechanics, blacksmiths, and various others. Membership
rose to between 10,000 and 20,000 individuals spread across the five counties
of Lancashire, Cheshire, Derbyshire, Nottinghamshire and Leicestershire within a year.[3] To establish
awareness and legitimacy, the union started the weekly Voice of the People publication, having the
declared intention "to unite the productive classes of the community in one common bond of
union."[4]
In 1834, the Welsh socialist Robert Owen established the Grand National Consolidated Trades
Union. The organization attracted a range of socialists from Owenites to revolutionaries and played
a part in the protests after the Tolpuddle Martyrs' case, but soon collapsed.
More permanent trade unions were established from the 1850s, better resourced but often less
radical. The London Trades Council was founded in 1860, and the Sheffield Outrages spurred the
establishment of the Trades Union Congress in 1868, the first long-lived national trade union center.
By this time, the existence and the demands of the trade unions were becoming accepted
by liberal middle class opinion. In Principles of Political Economy (1871) John Stuart Mill wrote:
If it were possible for the working classes, by combining among themselves, to raise or keep up the
general rate of wages, it needs hardly be said that this would be a thing not to be punished, but to
be welcomed and rejoiced at. Unfortunately the effect is quite beyond attainment by such means.
The multitudes who compose the working class are too numerous and too widely scattered to
combine at all, much more to combine effectually. If they could do so, they might doubtless succeed
in diminishing the hours of labour, and obtaining the same wages for less work. They would also
have a limited power of obtaining, by combination, an increase of general wages at the expense of
profits.[9]
Human beings are rational creature. They usually act upon rationally in different spheres of their
lives. Similarly, workers join a union with a rationale approach whether joining a union will be
beneficial or not. This can simply be decided by making a cost-benefit analysis in this regard. The
excess of benefits over costs, i.e., profit or reward, justifies workers’ joining to a trade union.
Researchers have devoted a great deal of time and effort to study “why do employees choose to
join a union.” They have failed to report a common list of reasons that apply to all organising efforts.
Nonetheless, there is a general agreement among the labour experts that certain issues are likely to
lead to an organising drive by workers Major ones among them are the following:
Job Security:

Employees need to have a sense of job security and want to be sure that management will not make
unfair and arbitrary decisions about their employment. They look unions to ensure that their jobs
are duly protected against lay offs, recall, promotion, etc.
Wages and Benefits:

Employees work for livelihood, i.e., bread-and-butter. Obviously, bread-and-butter issues of em-
ployees are always important issues in their unionization. The employees may think that the union,
with its united strength, will ensure fair wages at par with those of other workers in the community,
benefits such as medical facility, pensions, paid sick leave, vacations and holidays for them.
Working Conditions:

Employees like to work in a healthy and safe environment. Although there are statutory provisions
for providing employees a safe work environment employees still feel more secured knowing that
trade union is directly involved in safety and health issues relating to them.
Fair and Just Supervision:

The days are long gone when managers / leaders could rule employees with an iron fist. Thanks to
the trade unions that brought about a change or shift in leadership styles from autocractic to
democratic, or say, people oriented to ensure that the managers treat their employees fairly, justly,
and respectfully. Employees can only be disciplined for “just cause.” In case of mistreatment from
the employer, the employee may file a written grievance against the employer.
The complaint will be heard and resolved through a formal grievance procedure involving collective
discussion by both union and management representatives.
Powerlessness:

Employees individually often feel voiceless or powerless to bring about changes that will benefit
them’. But, it is union that provides them a powerful, collective voice to communicate to
management their dissatisfaction and frustration. This is based on labour philosophy ‘unity is the
strength”.
Need to Belong:

Man is a social animal. Hence, need to belong is strong in both his personal and work lives. The
union, from this point of view, provides a mechanism for bringing people together not only to
promote common job-related interests but also to organise programmes, functions, and social
events from time to time, to create a strong bond among the union members’.
To conclude, the management’s failure in ensuring job security, fair remuneration, safe and healthy
working conditions, fair supervision, involvement in decision making, sense of belonging etc., to
employees motivates them to join a union.

Thank you for your kind invitation and I agree with Mr Shameer Nazir
People who aren't in a union or don't know anyone in a trade or labor union often unsure what
labor unions do and why someone would join. A labor union is an organization of workers formed to
further the social and economic interests of its members.

The nature of work in the world is changing. Employers are trying to shed responsibility for
providing health insurance, good pension coverage, reasonable work hours and job safety
protections. Perhaps a logical starting point is to ask this basic question: why do workers join
unions? The fact is that there are almost as many reasons for joining a union as there are union
members. I would like to focus the six reasons for joining a union.

1. Economic reasons
For higher wages, increased benefits, shorter hours and improved working conditions are certainly
important reasons for joining a union.

2. Job security
One basic human need is security. In the work environment, employees find themselves in a
dependent relationship on their bosses and on what they probably view as impersonal
organizations. They want to know that their jobs will exist in the future and that they will be
protected against unfair or arbitrary treatment. Anyway, with the growth of technological change,
however, workers feel especially vulnerable to job loss. For example, several thousand robots are
now being utilized in manufacturing, with continued growth expected for the use of robotics in the
near future.

3. Social reasons
Men and women are social beings. Therefore, workers have a strong need to be accepted by their
peers, to belong, and to go along with others. Some unions offer attractive benefits, such as
insurance. Peer pressure may also cause workers to join unions.

4. Recognition
Some employees have found that the union structure offers them an opportunity to gain
recognition not available to them in the business organization. For example, a worker with little
education may serve on a shop committee or even be elected as a position of influence, such as
steward or officer in the local.

5. Participation
Many workers have explained their union membership in terms of their desire to obtain a voice in
decisions that affect them in their working environment. To other workers who feel lost in our large,
complex, industrial society, the union is viewed as a last hope that they will be able to influence
their destiny.

6. Compulsion
Aside from social pressure to join a union, some workers become union members simply because
on the employment contract requires them to do so. It would appear that unions serve a broad
network of employee needs.

One of the big reasons workers join a union is to ensure fair treatment in the workplace. As a union
member, you have a strong collective voice for negotiating with employers about pay & wages,
work hours, benefits - including retirement plans, health insurance, vacation and sick leave, tuition
reimbursement, etc., Union members earn more money, have better benefits, and help employers
create a more stable, productive workforce in which workers have a say in improving their jobs. As
you plan your future, consider where your best career opportunities are and how union
membership can help. What do you think are the most important reasons why employees want
unions? What can management do to respond to these concerns in advance of union organizing
activity? The role of HR department in developing and maintaining harmonious working relations
between employers and employees is very important. In many countries large proportions of the
working population nowadays belong to labor unions. The HR strategy is to ensure that the
organization “has (a) the right types of people, (b) in the right places at the right times, (c) doing the
right things right.”

We can see, therefore, that the reasons why employees join a union cannot be reduced to any
single, uncomplicated statement. To the extent that people cannot find opportunities to satisfy
those needs in the workplace, they tend to form unions. Some writers say that the existence of a
union is an indictment of management’s failure to provide opportunities for need satisfaction at all
levels of the organization.

Workers join union for demanding better working conditions and getting better pay from their
employers. Worker joined unions may be the workers had not rights and getting overworked and
under paid. Originally people joined unions to protect them from management. But now the unions
are doing exactly the same thing to the workers that they were designed to protect them from.