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Title Name Amity Solved Assignment POM for PRINCIPLES AND PRACTICES OF MANAGEMENT
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Short Name or Subject Code PRINCIPLES AND PRACTICES OF MANAGEMENT
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  Questions :-

                                                                                                     PRINCIPLES AND PRACTICES OF MANAGEMENT

ASSIGNMENT A

1. What were the Hawthorne experiments?  What effects did they have on the Management practices?

4 .Explain the MBO Process.          

5. Elucidate the relationship between planning and control.       

 

 

 

ASSIGNMENT B 

          CASE STUDY: 

1. What motivational need did Mr. Bansal satisfy for his full-time employees?

2. Discuss these needs with reference to Maslow’s hierarchy of needs.

3. Mr. Bansal achieved significant productivity gains because of a positive change in employee’s attitudes. What motivational strategies did he use to achieve this success?

 

 

ASSIGNMENT C:

1. Which one management function helps maintain managerial effectiveness by establishing guidelines for future activities?

 

2. Which is not a leadership theory?  

 

3. What interview is comprehensive, and the interviewer encourages the applicant to do much of the talking?

 

4. What are the typical products of job analysis?

 

5. Performance review is done to

 

6. The general conclusion of the ‘Relay Assembly Test Room Experiments’ was that employees would work better if the management were concerned about their welfare and superiors paid special attention to them.  This phenomenon was subsequently labeled as the _________

 

7. Which is not a way to overcome the initial resistance to change in organizations?                      

 

8. A/an ________ is a vital tool for providing information about organizational relationships.       

 

9. Which of the following is a question that needs to be answered in job analysis?

 

10. ________ refers to the ability of individuals or groups to induce or influence the beliefs or actions of other individuals or groups.

 

11. Key result areas are usually terms as

 

12. Job Evaluation is a technique which aims at:

 

13. Which control principles suggests that managers should be informed about a problem only when the data shows a significant deviation from established standards?   

 

14. Decreasing the role of subordinates in decision-making is known as      

 

15. Which of the following refers to the flow of information among people on the same or similar organizational levels?

 

16. Which is an esteem need?

 

17. In Basket Technique is used in

 

18. Which one is not a stage of Group process?

 

19. MBO was first suggested by

 

20. Which one management function helps maintain managerial effectiveness by establishing guidelines for future activities?

 

21. Which is an advantage of decentralization?        

 

22. Management of change refers to

 

23. Line Managers are:           

 

24. Which of the following refers to the flow of information among people on the same or similar organizational levels?

 

25. The organization chart is a way of showing        

 

26. Requisites of effective supervision are

 

27. You have decided to send a message to your supervisor requesting vacation time. You brainstorm some basic concepts and now must decide how to phrase this information for your supervisor. You are at which of the following steps in the communication process?   

 

28. ______ Spans of management create ____________ structures with many levels of management.      

 

29. Which of the following is not one of the steps identified as part of the controlling process?    

 

30. According to Herzberg and his associates ______ are job content factors which lead to job satisfaction?

 

31. The establishment of a distinct area, unit of subsystem of an organization over which a manager has authority for the performance of specialized activities and results is termed_______

 

32. Democratic leadership is also know as _________ leadership.   

 

33. Group decision-making has certain advantages over individual decision-making.  Which of the following statements is not true with regard to group decision-making?

 

34. The idea that workers look for meaning in their work and will actively seek out new responsibility is most consistent with which of these needs identified by Maslow?           

 

35. A manager’s posture during a communication with a colleague is an example of which aspect of the communications process?      

 

36. When a manager secures the agreement of a colleague to work on a project in return for the promise of providing the colleague with some extra remuneration, what type of power is he or she exercising?          

37. According to Herzberg, which of the following can be classified as a motivator?         

 

38. Which of the following refers to changing a task to make it inherently more rewarding, motivating and satisfying?      

 

39. The tendency to place the primary responsibility for one’s success or failure either within oneself or on outside forces is referred to as

 

40. ______ is a process whereby companies find out how others do something better than they do and then try to imitate or improve on it.

 

41. When an employee asks a question or reports a problem to his or her supervisor, this is an example of which direction of communication?

  1. Grapevine
  2. Lateral
  3. Downward
  4. Upward
  Answers :-

                                                                                               PRINCIPLES AND PRACTICES OF MANAGEMENT

ASSIGNMENT A

  1. What were the Hawthorne experiments? What effects did they have on the Management practices?

Ans: Hawthorne Experiments: It is also known as observer effect. The Hawthorne studies were conducted in order to find out the role of human resource in increasing the production of an organization.

The Hawthorne studies include the following experiments:

  1. Illumination experiments
  2. Relay assembly test experiments
  3. Relay assembly room
  4. Mica splitting test group
  5. Plant interview group
  6. Bank wiring observation group

 

HAWTHRONE EXPERIMENT

  • Conducted between 1924-1932
  • Conducted at WESTERN ELECTRIC COMPANY, CHICAGO, USA
  • Conducted by:- Elton Mayo

                          White Head

                           Roethlisberger

  • Initial tests were sponsored by the National Research Council (NRC) of the National Academy of Sciences.
  • In 1927, a research team from Harvard Business School was invited to join the studies after the illumination test drew unanticipated results.
  • A team of researchers led by George Elton Mayo from Harvard Business School carried out the studies.

Four parts of Hawthorne Experiments

  1. Illumination Experiments:
  • 1924-1927
  • Founded by General Electric
  • Conducted by NRC of National Academy of Sciences with engineers from MIT
  • Measured light intensity vs. worker output
  • Result: higher worker productivity and satisfaction at all levels

            Worker productivity was stopped with the light levels reached moonlight intensity.

  • Conclusion: light intensity has no effect on output

                     Productivity has a physiological component

  • Concept of ‘Hawthorne Effect’ was created.

 

  1. Relay Assembly Test Experiments:
  • 1927-1929
  • Experiments were conducted by Elton Mayo
  • Manipulated factors of production to measure effect on output:
  • Pay incentives
  • Length of work day and work week
  • Use of rest periods
  • Company sponsored meals
  • Results: higher output and greater employee satisfaction
  • Conclusion: positive effects even with negative influences- worker’s output will increase as a response to attention

                   Strong social bonds were created within the test groups. Workers are influenced by need for recognition, security, and sense of belonging.

 

  1. Relay Assembly Room 2:
  • 1928-1929
  • Measured effect on output with compensation rates
  • Special observation rooms
  • 1st session- relay assemblers changed from departmental incentive to small group incentive
  • 2nd session- Adjusted back to large group incentive
  • Results- small group incentives resulted in highest sustained level of production i.e. 112% over standard output base
  • Output dropped to 96.2% of base in 2nd
  • Conclusion: pay relevant to output but not the only factor.

 

  1. Mica Splitting Test Group:
  • 1928-1931
  • Measured output with changes to work conditions only:
  • Special observation rooms
  • Length of work day
  • Use of rest periods
  • Workers stayed on piece rate compensation
  • Result: productivity increased by 15% over standard output base.
  • Conclusion: productivity is affected by non-pay considerations

                    Social dynamics are a basis of worker performance

 

  1. Plant Interview Group:
  • Conducted 20000 interviews.
  • Objective was to explore information, which could be used to improve supervisory training.
  • Initially used the method of Direct Questioning and changed to Non Directive.
  • Results:
  • Merely giving an opportunity to talk and express grievances which would increase the morale.
  • Workers are governed by experience obtained from both inside and outside the company.
  • Worker was satisfied or dissatisfied depending upon how he regarded his social status in the company.
  • Social groups i.e. people sharing some social relations created big impact on work.
  • Production was restricted by the workers as all financial incentives offered as group pressure were on individual workers.
  1. Bank Writing Observation Group:
  • 1931-1932
  • Limited changes to work conditions
  • Segregated work area
  • No management visit
  • Supervision would remain the same
  • Observer would record data only
  • Small group pay incentives
  • Result: No changes in the output
  • Conclusion: preexisting performance norms.

                    Work group protection from management changes.

                     Group dictated production standards.

Conclusion of Hawthorne Experiments:

  1. Social and psychological factors are responsible for workers productivity and job satisfaction. Only good physical working conditions are not enough to increase the productivity.
  2. Informal relations among workers influence the worker’s behavior and performance rather than the formal one.
  3. Employees will perform better if they are allowed to participate in the decision making process.
  4. Employees will work more efficiently if they feel that management is interested in their welfare.
  5. Employees must be treated with respect and dignity.
  6. Financial incentives cannot alone increase the performance. Social and psychology needs must also be satisfied.
  7. Good communications between the subordinates and superiors improves the relations.
  8. Special attention and listening to the worker’s ideas and facts will improve the performance of the worker’s.

 

Criticism of Hawthorne Studies:

The Hawthorne Experiments are criticized on the following fields:-

  1. Lacks validity:-Hawthorne experiments were conducted under controlled and limited situations. Due to which worker’s only knew about the experiments. Therefore, they may have improved their performance only for the experiments.
  2. More importance to human aspects:-The experiments gave too much importance to the workers. Human aspects cannot only increase the production. Technology also increases the productivity.
  3. More emphasis on group decision making:-The experiments gave too much emphasis on group decision making process. In real life, individual decision making cannot be neglected.
  4. Over importance to freedom of workers:-It gave a lot of freedom to the workers instead of constructive role of supervisors. Too much freedom to the workers can decrease the performance of the workers.

 

Effect of Hawthorne Experiments on the Management practices

The Hawthorne Studies had a remarkable impact on the management in the organizations and how workers react to various situations.

In the past, managers considered workers as machines that could be bought and sold easily. To increase the production, workers were forced to work for long hours in undesirable working conditions and paying miserable wages to them. The welfare of the workers and their needs were disregarded and unnoticed.

The early 20th century bought a change in management and scientific management was introduced. This management was started by Fredrick Taylor. It emphasized that the best way to increase the volume of output was to have workers specializes in a specific tasks just like the machines do. But his theory bought lots of criticism stating that the fundamentals of scientific management were to exploit the employees rather than to benefit them.

The period between 1920 and 1930 saw the introduction of the Hawthorne studies and brought about radical changes in the organizational management. Selected workers who qualified to work were first trained how to operate the various tools in order to make the electrical equipments. They employed a very large number of workers and had an experiment to look for ways that can change productivity.  The personal managers had to work with the employees in order to study how the workers were being affected by the condition set.

Based on the illumination experiment, the experts discovered that the productivity increased regardless that the illumination increased, decreased or remains constant. Another thing they discovered that the productivity was not determined by the material aspirations.

To be effective, managers must treat their employees under good working condition and treat them well. In the Hawthorne Experiments, few workers who were selected to take part in the experiments, felt that they were important and hence had psychological impact on them as they felt encouraged to continue working in the plant. Performance of workers increased if they do well and can lead to promotions or any other rewards. The workers were also made aware of feedback for improvements on their performance.

The idea that “being studied” improves the performance is true when “being studied” involves workers being given attention ( feedback and reinforcement)and when they can see the output measures of their performance and observe their performance improving. That is what Hawthorne studies really demonstrated.

Secondly, workers in the Relay Assembly Test Room were reformed into small teams, can discuss the result of their work, they were freed from large groups pressure to hold down production and they felt control of their results as a team. This is a powerful combination of motivating forces.

However, seen from the above experiments it was never simply money. It is how money is employed along with the ability to control performance, empowerment and social system of teamwork.

 

 

4 .Explain the MBO Process.          

Ans:

MANAGEMENT BY OBJECTIVE (MBO)

It has been observed that if a majority of the theories and philosophies of a management expert are found to be successful in practice, in terms of giving desired results, it become quite easy for him to promulgate other theories based on his experience.  The same is applicable in the case wherein well known management expert ‘Peter Drucker’ devised the noble concept of evaluating performance by results. This technique laid emphasis on minimizing external control and maximizing internal motivation. The correlation between performance and objective was established and importance was given to goal setting by the individual himself in consultation with his supervisor.  In other words, the common goals are identified in this process by the superior and the subordinate jointly. Commonly known as MBO, this technique concentrates on results which can be understood in achieving organizational objectives.

First of all, the individuals are required to understand the basic objectives of the organization for which they are working. The Manager is required to define the finer details of the job to his subordinates so that he may be able to relate his contribution towards achieving the overall objective of the organizations.

Management by Objective (MBO) can be termed as an objective to change the behavior and attitudes of personnel for doing their jobs. It aims to convince individuals that what counts is their performance, it should be result-oriented. The results are more important than the methods. The involvement of subordinates in goal setting increases his own control over the work being performed by him, thus giving him a feeling of self- fulfillment resulting from his achievements.

MBO PRINCIPLES

  • Cascading of organizational vision, goals and objectives.
  • Specific objectives for each member.
  • Participative decision-making
  • Explicit time period
  • Performance evaluation and time period.

MBO STRATEGY: THREE BASIC PARTS

  • All individuals within an organization are assigned special set of objectives. These objectives are mutually set and agreed upon by individuals and the managers.
  • Performance reviews are conducted periodically to determine how close individuals are to attaining their objectives.
  • Rewards are given to individuals on the basis of how close they come to reaching their goals.

 

MBO PROCESS

FEATURES, ADVANTAGES AND DISADVANTAGES OF MBO

  • Motivation: Involving employees in the whole process of goal setting. Increasing employee empowerment increases job satisfaction and commitment.
  • It helps reduce conflicts and multiplicity of bosses because it clearly lays down the parameters for the evaluation of performance.
  • Better communication and coordination: frequent reviews and interactions between superiors and subordinates helps to maintain good relations within the enterprise also solved many problems faced during the period.
  • The smart Method: Clarity of goals. With MBO, came the concept of SMART goals. Goals are as follows:-

S – Specific

M – Measurable

A – Achievable

R – Relevant

T – Time bound

DISADVANTAGES

It is time consuming, leaving both managers and employees less time to do their actual work.

 

WHERE TO USE MBO

  • MBO style is appropriate for knowledge- based enterprises when your staff is competent. It is appropriate in situations where you wish to build employee’s management and self- leadership skills and tap their creativity and initiative.
  • Used by Chief Executives of MNC’s for their country managers abroad.

MANAGERIAL FOCUS

  • MBO Managers focuses on the result, not the activity.
  • They delegate task by “ negotiating a contract of goals” with their subordinates without dictating a roadmap for implementation
  • It is about setting objectives and then breaking these down into more specific goals.

BALANCE BETWEEN MANAGEMENT AND EMPLOYEE EMPOWERMENT:

The balance between management and employee empowerment has to be struck by practicing managers. Turning their aims to be successful into actions, managers have to drive five basic operations.

  1. Setting objective
  2. Organizing the group
  3. Motivating and communicating
  4. Measuring performance
  5. Developing people.

INDIVIDUAL RESPONSIBILITY

  • MBO creates a link between top manager’s strategic thinking and its implementation.
  • Responsibility is passed from the organization to its individual members.
  • All members have to be able to control their own work by feeding back from their results to the objectives.

MBO IN ORGANIZATIONS

  1. GLAXO LABORATORIES ( INDIA) LTD
  2. XEROX
  3. HEWLETT-PACKARD
  4. DUOPOINT

 

CONCLUSION

Management by Objectives has become de facto practice for management in knowledge-based organizations such as software development companies. The employees are given sufficient responsibilities and authority to achieve their individual objectives.

WHAT IS NOT MEASURED, CANNOT BE CHANGED”

 

 

  1. Elucidate the relationship between planning and control.

Ans:

RELATIONSHIP BETWEEN PLANNING AND CONTROLLING

Planning and controlling are two separate functions of management. Without planning, controlling activities becomes baseless and without controlling planning becomes a meaningless exercise. In absence of controlling, no purpose can served. Therefore, planning and controlling reinforced each other.

The process of planning and controlling works on systematic approach:

PLANNING                        RESULTS            CORRECTIVE ACTIONS

Planning and controlling are integral part of an organization. Each drives the other function of management.

In the present day environment, it is quite likely that planning fails due to some unforeseen events. There controlling comes to the rescue. Once the controlling is done effectively, it gives stimulus to make better plans. Therefore, planning and controlling are in separate function sof business enterprise.

  1. PLANNING ORIGINATES CONTROLLING:The controlling process and technique isdecided by planning.
  2. CONTROLLING SUSTAINS PLANNING:It is the controlling, which directs and diverts the course of planning.
  3. CONTROLLING PROVIDES STATISTICAL INFORMATION FOR PLANNING:The measurement and comparison of actual performance requires preparation of certain statistical information and reports which provide basis for sound planning.
  4. PLANNING IS THEORITICAL WHEREAS CONTROLLING IS PRACTICAL:Planning prepares plans and controlling works on it.
  5. PLANNING AND COTROLLING ARE INTER-RELATED:Without controlling planning is not complete. Planning is the basis of Controlling can be exercised only with reference to and on the basis of plans.
  6. CONTROLLING MEASURES PLAN:Controlling measures are taken in accordance with the pre-determined plans, programs and targets.
  7. PLANNING AND CONTROLLING BOTH ARE FORWARD LOOKING:Both planning and controlling aim at the future prospects of the business.

 

Therefore, in short, planning means you actually plan for something to happen.

                            Controlling means that you have actually worked upon the action plan.

 

 

 

 

 

ASSIGNMENT B 

       CASE STUDY: NO COMMISSIONS ALLOWED

  1. What motivational need did Mr. Bansal satisfy for his full-time employees?

Ans:

  • Bansal gave full time employee their own counter area and their own line of merchandise.
  • He also increased the responsibilities of the sales staff for managing their own inventory and their own line of merchandise.
  • So he gave them RECOGNITION AND RESPONSIBILITY.
  • Sales person were allowed to talk directly to the buying staff and the customers regarding for any additional information.
  • Bansal developed INTRINSIC MOTIVATION i.e. Sales person were in a position where they can shape their own social environment.
  • True creativity or productivity comes into being only when learning is free from external constraints.
  • Employees were able to makes decisions on what they did every day.

 

 

  1. Discuss these needs with reference to Maslow’s hierarchy of needs.

Ans:

Maslow’s theory of motivation is called the ‘hierarchy of needs’. Maslow believes that people have five main needs. They are:-

  1. Physiological needs
  2. Safety needs
  3. Belonging needs
  4. Self-Esteem needs
  5. Self- Realization needs

According to this case study and seeing the motivational need of recognition and responsibility, we can refer these needs with the Maslow’s- Self Esteem and self Realization needs.

Self- Esteem needs-

  1. Need to feel good about themselves
  2. Need to be recognized for their achievement

Self- Realization needs-

  1. Need for personal fulfillment
  2. Need to grow and develop.

Maslow beliefs that people will not move to the next list of needs until their previous needs are satisfied.

 

 

  1. Mr. Bansal achieved significant productivity gains because of a positive change in employee’s attitudes. What motivational strategies did he use to achieve this success?

Ans:

  • Bansal observed the working conditions and policies and administrative practices in the company. He changed the policies and procedures, he discuss the problems with the employees, started weekly meeting with the employees.
  • He gave them their own counter area and their own line of merchandise.
  • He increased responsibility of staff by:
  • Making them to manage their own inventory
  • Manage their own line of merchandise
  • Encouraged effective communication from his side to sales person regarding goals, etc.
  • Sales person were allowed to talk directly to the buying staff and the customers regarding any additional information.

In this way, he recognized the accomplishments of the employees.

 

 

 

ASSIGNMENT C:

  1. Which one management function helps maintain managerial effectiveness by establishing guidelines for future activities?

Ans: Planning

 

 

  1. Which is not a leadership theory?

Ans: ERG theories

 

 

  1. What interview is comprehensive, and the interviewer encourages the applicant to do much of the talking?

Ans: Unstructured

 

 

  1. What are the typical products of job analysis?

Ans: Job description and job specification

 

 

  1. Performance review is done to

Ans:  All of the above

 

 

  1. The general conclusion of the ‘Relay Assembly Test Room Experiments’ was that employees would work better if the management were concerned about their welfare and superiors paid special attention to them. This phenomenon was subsequently labeled as the _________

Ans: Relay effect

 

 

  1. Which is not a way to overcome the initial resistance to change in organizations?

Ans: Negotiation and agreement

 

 

  1. A/an ________ is a vital tool for providing information about organizational relationships.

Ans: Organizational chart

 

 

  1. Which of the following is a question that needs to be answered in job analysis?

Ans: All of the above

 

 

  1. ________ refers to the ability of individuals or groups to induce or influence the beliefs or actions of other individuals or groups.

Ans: Power

 

 

  1. Key result areas are usually terms as

Ans: KRAs

 

 

  1. Job Evaluation is a technique which aims at:

Ans: Establishing fair and equitable pay structure.

 

 

  1. Which control principles suggests that managers should be informed about a problem only when the data shows a significant deviation from established standards?

Ans: Management by exception

 

 

  1. Decreasing the role of subordinates in decision-making is known as

Ans: Centralization

 

 

  1. Which of the following refers to the flow of information among people on the same or similar organizational levels?

Ans: Horizontal

 

 

  1. Which is an esteem need?

Ans: Safety regulations

 

 

  1. In Basket Technique is used in

Ans: Training

 

 

  1. Which one is not a stage of Group process?

Ans: Welcoming

 

 

  1. MBO was first suggested by

Ans: peter F. Drucker

 

 

  1. Which one management function helps maintain managerial effectiveness by establishing guidelines for future activities?

Ans: Leading

 

 

  1. Which is an advantage of decentralization?

Ans: Encourages decision making

 

 

  1. Management of change refers to

Ans: Change the organization structure

 

 

  1. Line Managers are:

Ans: Managers with authority to direct operations in their spheres of activity

 

 

  1. Which of the following refers to the flow of information among people on the same or similar organizational levels?

Ans: Upward

 

 

  1. The organization chart is a way of showing

Ans: How task of an organization are divided and coordinated

 

 

  1. Requisites of effective supervision are

Ans: Managerial knowledge

 

 

  1. You have decided to send a message to your supervisor requesting vacation time. You brainstorm some basic concepts and now must decide how to phrase this information for your supervisor. You are at which of the following steps in the communication process?

Ans: Encoding

 

 

  1. ______ Spans of management create ____________ structures with many levels of management.

Ans: Narrow, tall

 

 

  1. Which of the following is not one of the steps identified as part of the controlling process?

Ans: Writing the reports

 

 

  1. According to Herzberg and his associates ______ are job content factors which lead to job satisfaction?

Ans: Motivators

 

 

  1. The establishment of a distinct area, unit of subsystem of an organization over which a manager has authority for the performance of specialized activities and results is termed_______

Ans: Centralization

 

 

  1. Democratic leadership is also know as _________ leadership.

Ans: participative

 

 

  1. Group decision-making has certain advantages over individual decision-making. Which of the following statements is not true with regard to group decision-making?

Ans: It’s time consuming and costly

 

 

  1. The idea that workers look for meaning in their work and will actively seek out new responsibility is most consistent with which of these needs identified by Maslow?

Ans: self-actualization

 

 

  1. A manager’s posture during a communication with a colleague is an example of which aspect of the communications process?

Ans: Informal channel

 

 

  1. When a manager secures the agreement of a colleague to work on a project in return for the promise of providing the colleague with some extra remuneration, what type of power is he or she exercising?

Ans: Reward power

 

 

  1. According to Herzberg, which of the following can be classified as a motivator?

Ans: Recognition

 

 

  1. Which of the following refers to changing a task to make it inherently more rewarding, motivating and satisfying?

Ans: Enrichment

 

 

  1. The tendency to place the primary responsibility for one’s success or failure either within oneself or on outside forces is referred to as

Ans: Locus of control

 

 

  1. ______ is a process whereby companies find out how others do something better than they do and then try to imitate or improve on it.

Ans: Benchmarking

 

 

  1. When an employee asks a question or reports a problem to his or her supervisor, this is an example of which direction of communication?
  2. Grapevine
  3. Lateral
  4. Downward
  5. Upward

 

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