DRIVE

PROGRAM
SEMESTER
SUBJECT CODE & NAME
BK ID
CREDIT
Max. Marks

FALL 2013
MBADS / MBAHCSN3 / MBAN2 /PCDBAN2
/MBAFLEX
1
MBOO38- MANAGEMENT PROCESS AND
ORGANISATIONAL BEHAVIOUR
B 1621
4
60

I.A vision statement is a formal statement of what a business wants to be. According to Collins
and Porras, a vision statement should have four parts. What are those four parts?
According to Collins and Porras, a vision statement has to have four parts.
1. Core Values
2. Core Purposes
3. The Big Hairy Audacious or BAHG
4. Vivid Description
1. Core Values: The core values are those things very close to ones heart that they will
not give them up at any cost. It can be integrity, or quality etc. you shouldve 4 to 6
core values. If you have too many core values, they fail to remain core and loses their
impact. Core values come up like a lighthouse to navigate you in a decision dilemma.
2. Core Purposes: Core purpose is the purpose of the organization. This is something
that you want to achieve within the framework of our core values. It gives the
achievement orientation to the business and therefore the focus.
3. BAHG: the BAHG is about having a goal which qualifies the purpose. BAHG should
be big yet specific and that your chance of attaining it is only about 70%. If more than
70% BAHG is not big enough and not audacious enough and you have set your goals
low.
4. Vivid Description: The vivid description should make the entire vision statement very
inspiring to all stakeholders. It should be simple and easily understandable. The

vision statement is meant for the stakeholders and therefore, the importance of the
vivid and simple statement. Your grandmother should be able to understand it or a
twelve-year-old child should be able to understand it.
b) Difference between Process and Tasks.
Process: Process is a set of logical activities that lead to some final or interim output. For
example, taking pieces of wood, making it smooth, cutting it, making grooves,
connecting them, finishing them, and polishing them are processes to create a table.
These have to be done in some logical sequence. These processes are planning,
organizing, staffing, leading and controlling. We call them management processes. In the
management system these processes convert your input into output.
Tasks: Tasks is the most basic unit in an organization. In the example given above,
teaching can be a task, cutting wood can be a task, and making g roves in the wood can
be a task. Thus, we have learnt that ever organization has a vision and mission. To
execute the organizational vision we create strategies, structures, systems and processes
help the organization execute the strategies.

II. Planning is called as the cornerstone of management. Define planning and describe the
importance of planning. Explain the types of planning.
Planning can be defined as a basic management function which enables one to select the
purpose of business, and how the resources should be mustered to achieve that purpose to
include using the available resources optimally to do that. Planning implies goal setting for the
organization keeping in mind the constraints, opportunities, and threats as much as what the
person or business which is planning wants to do.
Planning is important for the following reasons:

It helps the management to clarify, focus, and research their business or projects
development and prospects.

It provides a considered and logical framework within which is business can

develop and pursue business.

It offers a benchmark against which the actual performance can be measured and
reviewed.

It plays a vital role in helping to avoid mistakes or recognize hidden

opportunities.

In the business context, it guides the development of products, management,

finances, and most importantly, markets and competition.

It helps in forecasting the future and makes the future visible to some extent.

It bridges between where we are and where we want to go.

Types of planning
Planning can be classified from different perspectives.

Based on level (corporate, business and functional plans)

They cover long-term objectives of various businesses and the ways to do these. They are
integrated and future oriented. Sambhavi may consider that they could enter into long-lifepackaged bakery products, production of bakery raw materials, a chain food retail, etc. These are
corporate plans. Of course, Sambhavi is small. Take an organization like Tata. They have over
150 businesses under their corporate headquarters and the plan made for various businesses by
the corporate is called corporate plan. Under the corporate plan, there would be plans how to
muster the money, HR, etc. These are functional plans.

Based on importance (strategic and operational plan)

A plan that is important and future oriented and forms the hub of fulfilling the vision is,
of course, very important and such plans are called strategic plans. As against this, short-term
plans made for the day-to-day functioning such as production, purchase operation, etc are called
operational plans. These plans cover the production, distribution, etc that sustain the markets.

Based on formal process (formal and informal)

When planning is done as per the steps and documented in a structured way, it is called formal
plan and when this is missing it is called informal plan.

Based on approach (proactive and reactive)

The plans that we make anticipating an incident is called proactive plans and something
that we make as a consequence of an event or action of the competition is called reactive plans.
Reactive plans bring us back to the balance after we have lost it while the proactive plans give us
initiative. In other words, we can say that reactive plans are about survival while proactive is
about growth.
III. What is meant by span of control? Differentiate between narrow span of control and wide
span of control. What are the factors that influence the span of control?
The term span of control indicates the number of employees or managers who work
under one head. Span of control may be narrow or broad. When a very few people report to a
head and a chain is made that way upward, then it is called narrow span. Thus in a narrow span,
a department may have three or four sections, under each section head, there could be another
two or three sub section and under each sub section there could be nine or ten employees. In a
wide span there may be 20, 30 or more subordinates under one head.
There is some optimal limit to the number of subordinate a manager can have. In a
computerized environment, it is possible to have even 40 to 50 people under one head. More the
number of subordinates under one head, flatter the organization becomes. But keeping the factors
that influence the span of control, a balance has to be stuck.
Factors That Influence the Span of Control

Training Wide span demands high level of training while in narrow span, one can
manage with less.

Task definition and delegation Wide span demands clear task definition and delegation
while this can be much less in a narrow span.

Well defined plans and repetitive process If the business has these, a wide span is
viable, if not a narrow span is preferred.

Verifiable objectives wide span demands verifiable objectives and this is much less in
narrow span.

Speed of change when the speed of change is high, a wise span may not be practical
from a communication perspective but may not be practical if such changes need close
control.

Organization structure, written and oral communication when this is of a higher order,
wide span can work well.

Effective interaction and meeting wide span demands both more than narrow span.

Specialists when there are a greater number of specialists at the upper level, a wide
span is preferable. If the number of specialists is more of the lower level, then a narrow
span can work better.

Task simplicity if the task is simple, a wide span is viable.

Competency of managers with highly competent managers, a wide span works well.

Subordinate readiness If the subordinates are mature and are willing to assume
responsibility, a wide span works well.

iv. Define organizational behavior. What are the various approaches to organizational
behavior?
Organizational Behavior can be defined as a systematic study that investigates the impact
of individuals, groups and organizational factors on productivity to include effectiveness and
efficiency, absentee, turnover, organizational citizenship behavior and job satisfaction. It is a
field of study that investigates the impact that individuals, groups and structures have on
behavior within an organization for the purpose of applying such knowledge towards improving
an organization's effectiveness. It is an interdisciplinary field that includes sociology,
psychology, communication, and management; and it complements the academic studies of
organizational theory.

Approaches to OB

There are four main approaches to organizational behavior. They are:

Human resources approach.

Contingency approach.

Productivity approach.

Systems approach.
Human resources approach The human resources approach is concerned
with the growth and development of people towards higher level of
competency, creativity and fulfillment. People are the central resource in any
organization. Hence it tries to create a work climate for improve abilities. Here
the roles of leadership and the leading process are vital.
Contingency approach It implies that different situations require different
behavioural practices for effectiveness. Hence each situation must be analysed
carefully to determine the significant variables that exist in order to establish
the more effective practices. This approach ensures or at least encourages
analysis of each situation prior to action. Thus it helps to use all the current
knowledge about people in the organisation in the most appropriate manner.
Productivity approach in this approach, the output per unit input is
considered. Besides, economic inputs and outputs, we need to have human and
social inputs and outputs in workplace, is the premise of this approach.

Systems approach - it means that the organization people employ technology

in performing the task that they are responsible for while the structure of the
organization serves as a basis for coordinating all their different activities. The

systems view emphasizes the interdependence of each of these elements within

the organization, if the organization as a whole is to function effectively. This
approach also looks at the organization and its broader environment i.e., social,
economic, cultural and political within which they operate. All these shape the
OB

V. Perception is the way we see and interpret things. Explain the importance of such
perception. What are the factors affecting perception?
Perception is the process by which individuals organize and interpret their sensory
impressions in order to give meaning to their environment.
IMPORTANCE OF PERCEPTION
Perception is perhaps the most important aspect of OB that we use in our daily life and in
management. The importance of perception is:

While creating vision for an organization, our perception of the future and the way things
should be is a deciding factor.

While making strategy, out perception of the opportunities and threats make us see the
same situation differently.

Perception gives the impetus to seek more information to make more rational decisions.

Perception affects the planning because the goals set depend on our perception of the
world and the employees and their ability to achieve them.

The way we organize, i.e., flat versus hierarchical, depends on our perception of the
competence of the employees and business needs.

The ways we select staff is often fully based on perception and once we select, the way
we manage their performance, reward and promote them and treat them are also heavily
dependent on perception.

Business leaders make an effort to change the perception of the employees to bring about
change.

The controls that we put in place are based on our perception of the competence and
sincerity of the employees.

Reasons for most workplace stress and conflict are differing perception and bases in
perception.

FACTORS AFFECTING PERCEPTION

Perceiver related factors Peoples attitude, motives, interests, experiences and
expectations affect perception.

Attitude and motives Attitudes are evaluate statements (whether spoken in

words or otherwise) about objects, people and events. Motives are strong drives
that we have for taking an action.

Interests interest is a natural inclination to talk, participate or perform a task.

Experiences Experiences hard wire our brains.

Expectations the assistant manager expects the customers to be pleased when

he serves them in a particular way.

Self-concept Another factor that can affect social perception is the perceivers
self-concept.

Moods Moods can have a strong influence on the way we perceive someone.

Cognitive structure It is an individuals pattern of thinking, also affects

perception.

Target related factors - These are novelty, motion, sound, size, background and
proximity.
Situation related - Time, work setting, work, work tradition. Nature of word and
setting are important factors in a work situation that affect perception.
VI. Give the definition and importance motivation. Describe Maslows hierarchy of needs
theory.

Motivation is the process that account for an individuals intensity, direction, and
persistence of effort toward attaining a goal. Intensity is concerned with how hard a person
tries. This is the element most of as focus on when we talk about motivation. Direction is the
orientation that benefits the organization. And persistence is a measure of how long a person can
maintain his or her effort. Motivated individuals stay with a task long enough to achieve their
goal.
Motivation is important to an individual because:

Motivation helps to achieve personal goals.

Motivation gives job satisfaction.

Motivation helps in self-development of individual.

An individual would always gain by working with a dynamic team.

Similarly, motivation is important to a business because:

The more motivated the employees are, the more empowered the team is.

The more is the team work and individual employee contribution, more profitable
and successful is the business.

During period of change, there is more adaptability and creativity.

Motivation leads to an optimistic and challenging attitude at work place.

MASLOWS HIERARCHY OF NEEDS THEORY

According to this theory proposed by Maslow (1943), human beings have
wants and desires which influence their behavior. Only dissatisfied needs can
influence behavior. The needs follow an order of importance (called hierarchy)
and when a lower need is satisfied, he has a need to satisfy a higher level need.
Maslow created the following five hierarchies.
1) Physiological includes hunger, thirst, shelter, sex, and other bodily needs.
So if the work place does not fulfill this, an individual will not be motivated.
If he gets these, he will need the next hierarchy.

2) Safety - includes security and protection from physical and emotional harm
and therefore he looks for safer working place, and does not want to be
threatened or abused in the work place.

3) Social includes affection, belongingness, acceptance, and friendship in the

work place and if he get this, he will be happy to work hard. Workplaces
which guarantee this motivate them. We saw in the Hawthorne experiments,
how social relationship led to higher productivity.
4) Esteem includes internal esteem factors, such as, self-respect, autonomy,
and achievement; and external esteem factors, such as status, recognition, and
attention.

5) Self-actualisation - The drive to become what one is capable of becoming;

includes growth, achieving ones potential, and self-fulfillment.