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Unit 4

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0% found this document useful (0 votes)
55 views

Unit 4

Uploaded by

Karan Evangeline
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Unit - IV:

Managing Development Organizations

a. Strengthening Organizations:

SWOC Analysis:

SWOT is an acronym for Strengths, Weaknesses, Opportunities and Threats. By definition, Strengths (S)
and Weaknesses (W) are considered to be internal factors over which you have some measure of control. Also,
by definition, Opportunities (O) and Threats (T) are considered to be external factors over which you have
essentially no control.

SWOT Analysis is the most renowned tool for audit and analysis of the overall strategic position of the business
and its environment. Its key purpose is to identify the strategies that will create a firm specific business model
that will best align an organization’s resources and capabilities to the requirements of the environment in which
the firm operates.

In other words, it is the foundation for evaluating the internal potential and limitations and the probable/likely
opportunities and threats from the external environment. It views all positive and negative factors inside and
outside the firm that affect the success. A consistent study of the environment in which the firm operates helps in
forecasting/predicting the changing trends and also helps in including them in the decision-making process of the
organization.

An overview of the four factors (Strengths, Weaknesses, Opportunities and Threats) is given below-

1. Strengths - Strengths are the qualities that enable us to accomplish the organization’s mission. These are
the basis on which continued success can be made and continued/sustained.

Strengths can be either tangible or intangible. These are what you are well-versed in or what you have expertise
in, the traits and qualities your employees possess (individually and as a team) and the distinct features that give
your organization its consistency.

Strengths are the beneficial aspects of the organization or the capabilities of an organization, which includes
human competencies, process capabilities, financial resources, products and services, customer goodwill and
brand loyalty. Examples of organizational strengths are huge financial resources, broad product line, no debt,
committed employees, etc.

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2. Weaknesses - Weaknesses are the qualities that prevent us from accomplishing our mission and achieving
our full potential. These weaknesses deteriorate influences on the organizational success and growth.
Weaknesses are the factors which do not meet the standards we feel they should meet.

Weaknesses in an organization may be depreciating machinery, insufficient research and development facilities,
narrow product range, poor decision-making, etc. Weaknesses are controllable. They must be minimized and
eliminated. For instance - to overcome obsolete machinery, new machinery can be purchased. Other examples of
organizational weaknesses are huge debts, high employee turnover, complex decision making process, narrow
product range, large wastage of raw materials, etc.

3. Opportunities - Opportunities are presented by the environment within which our organization operates.
These arise when an organization can take benefit of conditions in its environment to plan and execute
strategies that enable it to become more profitable. Organizations can gain competitive advantage by
making use of opportunities.

Organization should be careful and recognize the opportunities and grasp them whenever they arise. Selecting the
targets that will best serve the clients while getting desired results is a difficult task. Opportunities may arise from
market, competition, industry/government and technology. Increasing demand for telecommunications
accompanied by deregulation is a great opportunity for new firms to enter telecom sector and compete with
existing firms for revenue.

4. Threats - Threats arise when conditions in external environment jeopardize the reliability and profitability
of the organization’s business. They compound the vulnerability when they relate to the weaknesses.
Threats are uncontrollable. When a threat comes, the stability and survival can be at stake. Examples of
threats are - unrest among employees; ever changing technology; increasing competition leading to excess
capacity, price wars and reducing industry profits; etc.

Advantages of SWOT Analysis

SWOT Analysis is instrumental in strategy formulation and selection. It is a strong tool, but it involves a great
subjective element. It is best when used as a guide, and not as a prescription. Successful businesses build on their
strengths, correct their weakness and protect against internal weaknesses and external threats. They also keep a
watch on their overall business environment and recognize and exploit new opportunities faster than its
competitors.

SWOT Analysis helps in strategic planning in following manner-

a. It is a source of information for strategic planning.

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b. Builds organization’s strengths.

c. Reverse its weaknesses.

d. Maximize its response to opportunities.

e. Overcome organization’s threats.

f. It helps in identifying core competencies of the firm.

g. It helps in setting of objectives for strategic planning.

h. It helps in knowing past, present and future so that by using past and current data, future plans can be
chalked out.

SWOT Analysis provide information that helps in synchronizing the firm’s resources and capabilities with the
competitive environment in which the firm operates.

SWOT ANALYSIS FRAMEWORK

Limitations of SWOT Analysis

SWOT Analysis is not free from its limitations. It may cause organizations to view circumstances as very simple
because of which the organizations might overlook certain key strategic contact which may occur. Moreover,
categorizing aspects as strengths, weaknesses, opportunities and threats might be very subjective as there is great
degree of uncertainty in market. SWOT Analysis does stress upon the significance of these four aspects, but it
does not tell how an organization can identify these aspects for itself.

There are certain limitations of SWOT Analysis which are not in control of management. These include-

a. Price increase;

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b. Inputs/raw materials;

c. Government legislation;

d. Economic environment;

e. Searching a new market for the product which is not having overseas market due to import restrictions;
etc.

Internal limitations may include-

a. Insufficient research and development facilities;

b. Faulty products due to poor quality control;

c. Poor industrial relations;

d. Lack of skilled and efficient labour; etc

Recasting Vision

A vision statement is important to a company because it serves as a strategic plan for success. It can act as a guide
when employees encounter challenges. Vision statements also help motivate employees to work toward shared
goals. A vision statement can also help a business identify its organizational culture.

Investors and others who show interest in the business may also rely on the vision statement to better understand
the purpose of the organization.

With a strong vision statement in place, a company can attract, engage and retain skilled team members.
Hardworking, dedicated and motivated employees may be more likely to work for a company that has strong
values and objectives. It’s important to engage team members in their work to help them stay motivated. Relating
a vision statement to individual goals can show an employee that they share a common purpose.

A vision statement can also help a business identify its organizational culture. Building a strong organizational
culture is vital to a company’s long-term success. It’s also important to continue to reference the vision statement
to show that the company is committed to that culture.

How to craft a business vision statement

If your employer assigns the creation of a vision statement to you and your team, it’s helpful to follow these steps
to craft a motivational and inspiring option:
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1. Identify the organization’s goals

Long-term goals for growth are important to consider, as are short-term goals for ensuring everyday success. As
you consider the goals, think about the strategy it will take to achieve them as well. Although you don’t need to
include the steps in your vision statement, having a guide will help make the goals more achievable.

2. Outline the values

Every organization has values. For example, the values of a health insurance company could focus on improving
the relationship between its customers and their healthcare needs. Before you can fully outline a vision statement,
it’s important to know the values of the organization, which will ultimately align with the company’s goals.

3. Make it simple

Your vision statement should be clear, concise and easy for anyone to understand. It should be one or two short
sentences. This is where it can be challenging to fit in all the necessary information into one-to-two sentences.
You may find yourself writing many details out and working to refine and consolidate to reach the final version.

4. Think ahead

Consider the trajectory of your industry so your statement will remain relevant in the future. Make sure it aligns
with your company’s long-term goals as well. It’s okay that you cannot predict the future. However, it can be
good to think strategically about how this vision statement can hold true even with natural changes in the
economy, the organization or business and its’ customers.

5. Establish a timeline

Since a vision statement serves as a guide for an organization’s success, it’s helpful to add time frames to each
component. Consider when you expect the business to meet certain milestones and achieve the goals you’re
outlining in the statement.

Mission

Mission is a general statement of how you will achieve your vision. Strategies are a series of ways of using the
mission to achieve the vision. Goals are statements of what needs to be accomplished to implement the strategy.
Objectives are specific actions and timelines for achieving the goal.

How vision and mission manipulate an organization's success?

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Roles Played by Mission and Vision. Mission and vision statements play three critical roles: (1) communicate the
purpose of the organization to stakeholders, (2) inform strategy development, and (3) develop the measurable
goals and objectives by which to gauge the success of the organization's strategy.

How do values impact the vision and mission of an organization?

The vision and mission state where the organization is going (vision) and what it will do to get there (mission).
The values statement defines what the organization believes in and how people in the organization are expected
to behave—with each other, with customers and suppliers, and with other stakeholders.

Objectives

Objectives help define goals, identify conflicting activities, guide elements of the decision-making process, and
ensure accountability of personnel within an organization. Without clearly defined goals and supporting
objectives, goal displacement often occurs.

Importance Of Goals and Objectives in An Organization

- First, they provide a level of guidance and direction for your company.
- Second, goals and objectives are also important because they facilitate planning.
- Third, goals and objectives are also important because they motivate and inspire your employees.

Meaning of Objectives:
Objectives refer to specific, measurable ends. They are identifiable goals towards which all organisational
activities are directed. They are the end results of the organisation’s operations. Objectives are the specific targets
or standards against which actual performance can be measured.

“It is a future target or end result that an organisation wishes to achieve.” Planning is meaningless if objectives
are not framed. Objectives serve as guide to planning i.e., planning is directed towards specific objectives.

Production target of 1,000 units every month or profit after tax of Rs. 10 lakh every year are the specific and
measurable goals or objectives which can be estimated and verified. Objectives are the precise end-results which
an organisation wants to achieve.

Features of Objectives:
1. Challenging:

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Challenging goals require innovative and creative organisational members. An organisation with aspiring work
force accepts the challenging goals. They do not find the routine objectives attractive.

2. Attainable:
Goals, though challenging, should be attainable. People work hard to achieve challenging and innovative goals
but goals should be within their skills and abilities. Managers should, therefore, frame goals which can be
achieved within the constraints of physical, financial and human resources.

3. Specific and measurable:


Goals can be tangible and intangible. Intangible or “qualitative goals involve subjective judgement about whether
or not a goal is reached.” Assessing manager’s performance or worker’s morale are the qualitative goals. Though
important, they cannot be easily measured unless some quantifiable standards of performance are framed.
“Quantitative goals encompass objective numerical standards that are relatively easy to verify.”

Production target of 2,000 units every month is a specific and measurable goal which can be estimated and
verified. Objectives can be broad (qualitative) or specific (quantitative). As broad objectives cannot be measured,
specific objectives are framed to achieve the broad objectives. Increase in sales (broad objective) can be achieved
by framing specific objectives of how much increase in sales (say, 10 per cent) and in what time period (say, one
year).

4. Time limit:
Goals must be achieved within a specified time-period. Organisational performance should be reviewed and
assessed at regular intervals so that goals can be achieved within the specified time-frame.

5. Supportive:
Goals at lower levels should support the higher-level goals, short-run goals should support the long-run goals and
goals of different departments should also support each other. If the organisation wants to increase sales by 5%,
production department should support this goal by producing 5% more and finance department should also release
funds for producing and selling more.

6. Hierarchy:
Objectives at different levels of the organisation form an ends-means chain or a hierarchy where objectives at one
level provide an end and a means for attaining objectives at the higher level.

7. Priority:

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At a point of time, an organisation has multiple goals and, therefore, goals should be arranged in the order of
priority. This helps in optimum allocation of scarce resources over different objectives. A business organisation,
for example, should lay priorities for profit- oriented activities and non-profit or service activities. This ensures
efficient utilisation of resources.

8. Flexible:
Objectives are flexible. Depending upon the internal and external environmental variables, they can be changed
to ensure the organisation’s survival. If the initial purpose for which the organisation was established is achieved,
there can be additions/deletions in the existing objectives so that organisation continues to operate.

An organisation that was initially established to look after war victims at the time of World War changed its
objectives to look after social and public health once the war was over (The Indian Red Cross Society). Objectives
can also be added to sustain or grow an organisation. An NGO can add a wide variety of social objectives to its
existing objectives like lung health, anti-tobacco campaigning, old age homes, child nutrition, women education
etc.

Importance of Objectives:
Objectives provide the following benefits to organisation:
1. Basis for managerial functions:
Objectives provide basis for all managerial functions. Planning, organising, staffing, directing and controlling are
directed towards organisational objectives. Unless organisational objectives are clearly identified, managerial
functions will not be effectively carried out.

2. Basis for organisational existence:


Objectives provide foundation or legitimacy to business organisation. An organisation will not come into
existence if it has no objective to achieve. Objectives enable the organisation to make its profile (identify its
strengths and weaknesses) and relate it with environmental profile (opportunities and threats). Organisation can,
thus, relate itself with the environment.

3. Basis for various types of plans:


Different types of plans like policies, programmes, procedures etc. are directed towards organisational objectives.
If objectives are clear, managers will be able to make the plans. Clearly defined objectives encourage unified
planning. They promote vision of the future so that instructions can be given to move in the right direction.

4. Standards of performance:

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Objectives provide standards of performance against which actual performance is measured. Organisational
performance is directed towards objectives. Objectives, thus, provide the basis for control. Deviations in actual
performance are rectified and performance of sub-units, units and departments is synchronized in a common
direction.

5. Unity of action:
Objectives provide unity of action. All organisational activities related to all departments (production, marketing
etc.) are targeted towards organisational objectives.

6. Motivation:
Objectives at one level are a source of inspiration and motivation to achieve goals at higher levels. Workers strive
hard to achieve innovative and challenging goals. Rational and attainable objectives motivate employees to work
hard. Organisational goals should also satisfy personal goals. If goals fulfill personal needs of employees, they
feel motivated to contribute to organisational goals also.

7. Basis for coordination:


Objectives coordinate the efforts of people in different departments. Individual, sectional and departmental goals
are coordinated towards corporate goals. They also integrate the efforts of individuals with those of the groups
and the organisation.

People as individuals (internal and external to the organisation) cannot think differently from groups and the
organisation. Creditors, suppliers, customers, employees — all depends upon how well the objectives of the
organisation are defined.

8. Basis for decision-making:


Decision-making is goal-oriented. Objectives frame the areas for discretion within which organisational decisions
can be made.

9. Basis for organisation structure:


Organisation structure is designed keeping in view concepts like departmentation, span of control, delegation,
decentralisation etc. All these activities have to move towards a common direction. Framing realistic and
attainable objectives play important role in this regard.

Multiplicity of Objectives:

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One may generally think that objective of business organisation is to make profits and that of a non-profit
organisation is to provide service or meet the needs of various constituents of society (stakeholders). However,
this is not always true.

All organisations have multiple objectives. Emphasis on one goal (profits) may ignore other goals (growth, market
share, innovation etc.) which are also important for long-run survival and growth of the organisation.

In the modern times, having only one goal (profit maximisation) is unethical as business operates in the social
system. It influences various elements of society and is influenced by them. It has multiple objectives to meet the
needs of different sections of society. This not only helps the business meet its primary goal of profit maximisation
but also ensures its long-run survival in the market.

No single objective can ensure success of the organisation. Multiple objectives enable a business to influence
diverse interest groups which interact with it. They provide opportunity to the firm to optimise its resources and
frame plans, priorities, philosophies and policies towards them.

Some of the multiple objectives of business organisation are economic objectives (profit maximisation, high
productivity, optimum allocation of resources, customer creation, innovation), organic objectives (effective
utilisation of manpower, development of human resource, participation in management, training and motivation),
social objectives (customer satisfaction, remove social problems, fair trade practices, employment opportunities)
and national objectives (development of backward areas, generation of export surplus, contribution to research
and development, provide social justice).

Hierarchy of Objectives:
There is generally a hierarchy of objectives viewed as the means-ends chain. Objectives at different levels of the
organisation form a hierarchy where objectives at one level are end in themselves and means for attainment of
objectives at the higher level. Together objectives at all levels form an integrated chain. Objectives framed by top
managers to achieve growth rate of 15% is an end of top-level.

In order to achieve this growth rate, sub-objective for middle-level managers is to increase sales. Increasing sales
is an end of middle-level managers but means for achieving goals at the higher level. This process goes on till
objectives are framed for each level in the organisation. Objectives for each level are an end in themselves but a
means for attaining objectives for higher levels.

In a hierarchy, goals/objectives are generally framed at three levels:

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1. Top level: Strategic goals,

2. Middle level: Tactical goals, and

3. Lower level: Operational goals.

1. Strategic goals:
These are the formal goals framed by top managers and address issues related to the organisation as a whole.
These goals ensure survival and successful working of a business enterprise. According to Drucker, there are
eight major areas in which organisations frame strategic goals. These are:

Market standing, innovation, human resources, financial resources, physical resources, productivity, social
responsibility and profit requirements.

2. Tactical goals:
Each department sets specific goals to promote overall organisational goals (strategic goals). Tactical goals are
the goals of specific departments framed by middle-level managers. While strategic goals are general in nature,
tactical goals are specific. They are stated in measurable terms.

3. Operational goals:
“Operational goals are targets or future end results set by lower management that address specific, measurable
outcomes required from the lower level.”

These goals are framed by lower-level managers for divisions or sub-units of each department. As tactical goals
help to achieve strategic goals, operational goals help to achieve both strategic and tactical goals.These levels of
goals form a means-ends chain where goals at lower levels provide a means to attain the ends (goals) at the higher
level. In the hierarchy of objectives, there should be complete coordination of objectives at different levels of the
ends – means chain so that right means contribute to the right ends. Lack of coordination can lead to goal distortion
and goal displacement.

Due care should be taken by managers to ensure that there is:


a. No disagreement amongst the unit’s operating at different levels regarding the means for goal accomplishment.

b. No influence of personal biases and judgments on the part of any organisational member that negatively affects
integration of the links involved in the ends-means chain.

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b. Activities of the Organizations.

Restructuring the Structure and Functions of Organizations.

Restructuring is the act of changing the business model of an organization to transform it for the better. These
changes can be legal, operational processes, ownership, etc. The cause of such a shift in the company can be either
external or internal.

An organizational structure is a system that outlines how certain activities are directed in order to achieve the
goals of an organization. These activities can include rules, roles, and responsibilities. The organizational structure
also determines how information flows between levels within the company.

Why Do Companies Restructure? Corporate restructuring can be driven by a need for change in the organizational
structure or business model of a company, or it can be driven by the necessity to make financial adjustments to
its assets and liabilities. To merge with another company. To decrease or consolidate debt.

Process - Restructuring is a type of corporate action taken that involves significantly modifying the debt,
operations, or structure of a company as a way of limiting financial harm and improving the business.

Importance - Although there are different views on the importance of the organizational structure and its
dimensions, they are unanimously agreed that; it is designed to help the organization achieve its goals. It is always
indicated that the organizational structure performs two main functions. The first and most important of these
functions is the achievement of the organization’s outputs and objectives. The organizational structure helps
reduce the differences between individuals to the minimum possible. The organizational structure also dictates
ensuring the commitment of individuals and is limited to the requirements of the organization and not the other
way around. We mentioned that the organizational structure is a way to help the organization achieve its goals
and helps achieve those goals through three main areas:

• Assist in the successful implementation of activities and identifying them, so they must be implemented,
allocating the necessary resources, and providing means of coordination between them.

• Define the roles of individual organizers and what is expected from each person.

• Assistance in decision making.

• Make the best use of available resources.

• Avoiding overlap and duplication between activities and business.

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• Avoid differences at work.

• Achieve harmony and consistency between the different organizational units and roles.

• Enable the organization to respond internally and externally to changes and work to adapt to these
variables.

How to?

To restructure the system and define the tasks, plans, strategies, foundations, rules, and operations of the
organization; the following steps must be followed:

• Studying the company’s case and identifying its strengths and weaknesses.

• The management should put the required main functions in all the main and sub-sections.

• The management must establish the current administrative structure of the company and identify available
vacancies.

• Determining the skills and capabilities of the company’s current employees and clarifying the extent of
their capabilities to perform the required and placing each worker in the most suitable job for him.

• Determine the needs of the company and management in a comprehensive way that does not depend on
the skills and capabilities of the current employees of the company.

• Draw a documentary cycle related to all levels and existing capabilities that the institution can achieve
and set its expected future plan.

• Determine the outputs of each of the files, books, reports, and the outputs of the production process.

• Determine the tasks required of each job and evaluating them within the job description.

• Develop detailed and accurate plans, rules, and policies to know the specific jobs and their implications
at the management level.

• Train the administration and the employees providing sufficient knowledge of their jobs in detail,
identifying those responsible for them and the extent of the impact of all this on the administrative
structure.

• Develop a plan in advance about the tasks performed by the employees in the institution and determine
their priorities.

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• Tasks should not exceed 10 basic tasks; determine the time required to complete the work, and evaluate
their behavior within the organization in all aspects.

c. Staffing

Staffing is the process of hiring eligible candidates in the organization or company for specific positions. In
management, the meaning of staffing is an operation of recruiting the employees by evaluating their skills,
knowledge and then offering them specific job roles accordingly.

Functions of Staffing

1. The first and foremost function of staffing is to obtain qualified personnel for different jobs position in
the organization.

2. In staffing, the right person is recruited for the right jobs, therefore it leads to maximum productivity and
higher performance.

3. It helps in promoting the optimum utilization of human resource through various aspects.

4. Job satisfaction and morale of the workers increases through the recruitment of the right person.

5. Staffing helps to ensure better utilization of human resources.

6. It ensures the continuity and growth of the organization, through development managers.

Training

Training constitutes a basic concept in human resource development. It is concerned with developing a particular
skill to a desired standard by instruction and practice. Training is a highly useful tool that can bring an employee
into a position where they can do their job correctly, effectively, and conscientiously. Training is the act of
increasing the knowledge and skill of an employee for doing a particular job.

Definition of Training:

Dale S. Beach defines training as ‘the organized procedure by which people learn knowledge and/or skill for a
definite purpose’. Training refers to the teaching and learning activities carried on for the primary purpose of
helping members of an organization acquire and apply the knowledge, skills, abilities, and attitudes needed by a
particular job and organization.

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According to Edwin Flippo, ‘training is the act of increasing the skills of an employee for doing a particular job’.

Need for Training:

Every organization should provide training to all the employees irrespective of their qualifications and skills.

Specifically, the need for training arises because of following reasons:

1. Environmental changes:

Mechanization, computerization, and automation have resulted in many changes that require trained staff
possessing enough skills. The organization should train the employees to enrich them with the latest technology
and knowledge.

2. Organizational complexity:

With modern inventions, technological upgradation, and diversification most of the organizations have become
very complex. This has aggravated the problems of coordination. So, in order to cope up with the complexities,
training has become mandatory.

3. Human relations:

Every management has to maintain very good human relations, and this has made training as one of the basic
conditions to deal with human problems.

4. To match employee specifications with the job requirements and organizational needs:

An employee’s specification may not exactly suit to the requirements of the job and the organization, irrespective
of past experience and skills. There is always a gap between an employee’s present specifications and the
organization’s requirements. For filling this gap training is required.

5. Change in the job assignment:

Training is also necessary when the existing employee is promoted to the higher level or transferred to another
department. Training is also required to equip the old employees with new techniques and technologies.

Importance of Training:

Training of employees and managers are absolutely essential in this changing environment. It is an important
activity of HRD which helps in improving the competency of employees. Training gives a lot of benefits to the
employees such as improvement in efficiency and effectiveness, development of self-confidence and assists
everyone in self-management.

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The stability and progress of the organization always depends on the training imparted to the employees. Training
becomes mandatory under each and every step of expansion and diversification. Only training can improve the
quality and reduce the wastages to the minimum. Training and development is also very essential to adapt
according to changing environment.

Types of Training:

Various types of training can be given to the employees such as induction training, refresher training, on the job
training, vestibule training, and training for promotions.

Some of the commonly used training programs are listed below:

1. Induction training:

Also known as orientation training given for the new recruits in order to make them familiarize with the internal
environment of an organization. It helps the employees to understand the procedures, code of conduct, policies
existing in that organization.

2. Job instruction training:

This training provides an overview about the job and experienced trainers demonstrates the entire job. Addition
training is offered to employees after evaluating their performance if necessary.

3. Vestibule training:

It is the training on actual work to be done by an employee but conducted away from the work place.

4. Refresher training:

This type of training is offered in order to incorporate the latest development in a particular field. This training is
imparted to upgrade the skills of employees. This training can also be used for promoting an employee.

5. Apprenticeship training:

Apprentice is a worker who spends a prescribed period of time under a supervisor.

Team Building

Team building is the process of turning a group of individual contributing employees into a cohesive team—a
group of people organized to work together to meet the needs of their customers by accomplishing their purpose
and goals.
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What Is Team Building?

Team building creates stronger bonds among the members of a group. The individual members respect each other
and their differences and share common goals and expectations.

Team building can include the daily interaction that employees engage in when working together to carry out the
requirements of their jobs. This form of team building is natural and can be assisted if the group takes the time to
come up with a set of team norms. These norms help group members know how to appropriately interact on the
team and with the rest of the organization.

Team building can also involve structured activities and exercises led by team members. Or, with the proper
budget and goals, managers can contract out for facilitation with an external resource. External facilitation by an
experienced person can give your team building a boost.1

The bonds formed from team-building will enable employees to accomplish the work and goals of your
organization more effectively than a non-bonded group. Keep your focus on team-building opportunities that lend
themselves to the accomplishment of the actual work of the team.

How Does Team Building Work?

Often the team leader or manager will facilitate a series of meetings at which employees get to know each other
and develop cohesive working relationships.

In a larger organization, organization development staff can lead the team-building sessions. Many human
resources practitioners are also comfortable leading team-building sessions. And with a little practice, teams can
use another employee to facilitate their group's session.

But team building doesn't always have to have a facilitated meeting to accomplish the goal of a cohesive team.
You can build your teams by structuring activities and fun events that team members can do together.

Ideas for Team-building Activities

For example, you could start with a department picnic, using a couple of hours during the workday to visit a
nearby park. Grill some food and suggest that employees bring a dish to pass.

The goal is that you gather together to share some quality talking time over the meal. If employees take their
lunches to their individual offices to eat alone, it defeats the goal of team building.

You can also sponsor activities where employees get together for fun. Bowling, painting pictures at a painting
shop, river cruises on a passenger boat, comedy club outings, and baseball games all fit the bill. Really, any event
that your team can do or attend as a group will help bond them.
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Events that are physically challenging, such as rock climbing and ropes courses, can cause dread and fear for
physically inactive or challenged employees. So, for team building, stay away from the type of event that some
employees would be unable to participate in comfortably and without trepidation.

The best team-building activities are inexpensive, fun, and effective—not to mention local and easy to do.

Using External Facilitation

When using an external facilitator for team building, groups can participate in structured activities that are
designed to help the employees coalesce into an effective team. Generally, the facilitator works with a group of
employees to design team-building activities or sessions.

You will find these team-building activities most effective when they are customized to the needs of your group.
Generic team building can have a positive impact, but it is nowhere near as impactful as a customized event.

These sessions can include icebreakers, discussion topics, games, cooperative assignments, and group
brainstorming. The role of the external facilitator in these events is to help you reach your goals. Make sure the
event is integrated into your everyday work so the results continue following the event.

Key Takeaways

• Team building is the process of strengthening bonds between members of a group for the purpose of more
efficiently achieving the group's goals.

• Activities that promote team building can be as informal and casual as a shared meal, or as formally
structured as a session led by a facilitator.

• Successful teams can be more productive than individual contributors.

Decision Making

Organizational Decision Making

Decision making is a fundamental function of the management. It is the basic activity of the management. It
reflects the success and failure of the management and the organization which mainly hinges upon the quality of
decisions. The decision-making role of the management is the ‘heart’ of the executive activities in the
organization.

In the present-day environment, organizations are faced with thousands of decisions daily, and how they make
these decisions have an enormous impact on their performance level. These decisions set the tone for the entire
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organization in terms of image, profits and customer service. That is why it is very important that organizations
adopt best practices and execute good judgment when it comes to making decisions. It is necessary since the right
decision at the right time can help organizations achieve great success whereas a wrong decision can end up
costing them dearly.

These days the role of managers includes a large amount of decision making and complex problem solving. The
ability of the organization to take efficient and effective decisions can have a major impact on its sustainability
and agility. Organizational management is to realize the significant positive impact of developing true decision
competencies. This is only realized when solid, high-quality decision making becomes embedded in the entire
organization.

In the organization, managers at all the levels in the organization take decisions for the achievement of the
organizational objectives. Decision making is one of the most important functions of the managers in the
organization. It is central managerial activity. Making decisions is a matter of a huge responsibility for the
managers not only for the organization itself, but also for the employees and other stakeholders, as well. Decisions
set the tone for the entire organization in terms of image, profits and customer service.

The most important job of any manager is making decisions. It is also the hardest and the most dangerous. With
decisions valued in their millions, a bad decision can cause damage the organization and the manager’s career
which is irreparable. Fragmented and inaccurate data causes managers to make delayed and flawed decisions
costing millions. Finding the right data at the right time and analysing it fast enough remains a challenge for the
organizations as poor decisions can be very costly.

Decisions play a fundamental and crucial role within large organisations, and how the managers react can very
well have a substantial impact on the performance of the organizations. Failure to make the correct decision can
lead to huge financial loss, while on the other hand making the right decision can help to achieve a financial gain.
The importance of the correct decision being made cannot be signified. Hence, all of the factors affecting decision
making need to be considered when deciding on a course of action.

Decisions, when implemented correctly, are an opportunity to reposition and realign the organization for a better
‘fit’. Decisions of good quality are effective decisions and enable the organization to maintain competitive
position, align internal operations with external environment, and survive threats and challenges, while
conversely, because of their magnitude, a single, poor-quality decision can lead to the deterioration in the
performance of the organization and result in corporate embarrassment, and large economic losses.

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Decision making is normally considered to be a process. This process includes a group of procedures or steps. It
begins with a definition of the problem or opportunity and ends with the achievement of the objectives. The
process of the decision making has a systematic approach, and consists of seven steps, namely (i) appreciating of
problem or opportunity i.e., identifying the decision, (ii) gathering of information and data, (iii) analysing of data
and information, (iv) developing of alternatives, (v) evaluating the alternatives, (vi) choosing of the appropriate
alternative, and (vii) taking action and reviewing the decision and its consequences.

The quality and speed of decision making is the key determinant of the success or failure of the organizational
management. The identifying of the objectives, providing alternatives for solving the problems and the weighing
and balancing the values and interest are crucial for the quality of decision making. This needs the risk analyses
to discriminate between alternative. An important challenge for quality decision is to evaluate to what extend the
managers utilize quantitative and qualitative criteria in decision making. However, to do these actions, the
managers need to have such skills as (i) to have the courage, (ii) to be rational, (iii) to prove creativity, and (iv)
to balance the judgment. These skills influence the quality of decision making which in turn has positive effect
on the organizational effectiveness.

Decision making is considered to be a choice among competing alternatives and the implementation of the chosen
alternative. It is a process of making a choice from a number of alternatives to achieve a desired result. It is a
cognitive process which rationally leads to the selection of a course of action among several available alternatives.
It combines the mental process of perception, action, and coming to closure on stimuli. On the other hand,
cognitive style is the patterning or linking of the thinking processes and coming to closure in the presence of
ambiguity and uncertainty. All decisions have a time horizon or scope. Rational decision-making means ‘making
consistent, value-maximizing choices with in specified organizational constraints’.

The decision-making process depends on the differences amongst managers’ values, attitudes, education,
organization, managerial level. This difference in decision making amongst managers is also made because of the
difference in experience, analytical ability, in forming perception and processing of information, scope of
consultation, degree of freedom of choice, availability of resources and trust and rapport between the managers
and the employees managed by him. The skills which are considered important to efficient and effective decision
making are based on the normative model of decision making, which prescribes how decisions are to be made.
These skills consist of (i) identifying the possible options, (ii) identifying the possible consequences which follow
from each option, (iii) evaluating the desirability of each consequence, (iv) assessing the likelihood of each
consequence and (v) making a choice using a decision code of practice.

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The term decision making means a ‘commitment to action’. It can also be considered as the process of making
intentional, informed choices between alternative actions which are possible. It is sometimes defined as ‘the
product of intellectual processes resulting in the selection of a course of action between numerous options, leading
to a final selection’. Decision making is an essential part of the organizational management and it occurs in every
function at all levels, frequently taken in the face of uncertainty, conflicting objectives, value preference, and risk
attitudes.

In the present day environment, decision makers are expected to make more decisions than ever before, frequently
without much support and with a limited amount of time As the complexity of decision making increases, the
issue of developing decision making capabilities remains a challenge.

Three important issues which determines the quality of the decision are (i) the importance of the decision, (ii)
managerial level at which the decision is being taken, and (iii) the decision-making style of the manager. Decision
making style is important since it reflects the mentality or the way of thinking of the managers in the organization.
Moreover, it explains how the managers use information and how they conceptualize and envision the future of
the organization. Some of the important aspects related to the decision making are described below.

Types of decisions

Decisions are made at all levels in the organization. Some of these decisions are routine and common while the
others are new and complex. Even though the value of improving any one of these decisions may not be
significant, improving hundreds of thousands of these small decisions ultimately adds up to a huge yearly value.

The organization consists typically of three levels of management. These levels are (i) senior or strategic
management, (ii) middle or tactical management, and (iii) operational management. Each of these levels has
diverse information needs in order to support decision making and is also responsible for different kinds of
decisions. Decisions can also be categorized as structured, semi-structured, and unstructured. Structured decisions
are those which are recurring and regular decisions, where decision makers can follow a predefined procedure in
order to handle them properly and efficiently. Semi-structured decisions are those in which only a portion of the
problem has an obvious solution offered by an approved process. The unstructured decisions are described as new
and non-routine decisions with a high degree of uncertainty. Such decisions need decision makers to provide
judgment, assessment, and insight to solve the problem.

The unstructured type of decisions is normally associated with specific management levels. For example, the
operational management level typically consists of thousands of structured decisions, which are routine and
repetitive and have a predefined procedure for handling them efficiently. The tactical management level on the
other hand, consists of hundreds of semi structured decisions, where only a part of the problem has a clear cut
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solution. However, the strategic management level consists of a number of unstructured decisions, which are new
and non-routine with a high degree of uncertainty. Fig 1 shows the key decision making categories in the
organization

Key factors in decision making

Managerial decision making is affected by a number of factors. A number of these factors can be listed as (i)
objectivity, (ii) setting clear criteria and principles and standing by them, (iii) readiness to listen and consider
other employees’ opinions, (iv) personal experience and contribution in the concerned area of operation, (v)
confidence in their own ability and familiarity in the concerned area of operation, (vi) keenness to return to the
decision making objective, (vii) aptitude to stay composed under pressure, (viii) eagerness to take risks, (ix)
determination to search for the finest solution and (x) ability to stick by the decision.

These factors can either promote of hinder the organizational capability to make critical operational decisions.
That is why, it is very important that managers incorporate as many of these factors into their decision making
range.

Decision making style

Decision making style affects the acquisition, sharing, and utilization of the knowledge. The term decision style
is the way a person uses information to formulate a decision. Decision making style of the managers depends on
the quantitative and qualitative methods which they use to structure and clarify difficult problems and to explore
the implications of pursuing different options. Decisions which take longer time than needed are normally made
by the wrong people or in the wrong part of the organization or with the wrong information. These decisions turn
out badly and are not the quality decisions. Involving teams efficient in generating and evaluating different
alternatives of problems solving improves the quality of decisions most of the times. Sometimes the democratic
decisions are not able to be made because of minority domination or time pressure.

Decision making style is still a cognitive process which includes personality of the people in relation to their
needs, values, and self-concept. The decision-making style normally reflects an individual characteristic for
perceiving and responding to a decision-making process. The style of decision making for managers depends on
their learning process and experience. The differences among individuals when making a decision depend on two
factors namely (i) information use, and (ii) focus, that is, the number of solutions considered.

The decision style framework is defined by three key factors namely (i) the way a person thinks about a problem,
(ii) the way the person communicates to others, and (iii) the way the person expects others’ behaviour to affect
his / her performance. The operational definition for the decision-making style is a habitual pattern or preferred
way of doing something which is consistent over time and across activities.
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There are five decision making styles. These are (i) the decisive which means the use of minimum amount of
information, rapid solutions, focus on efficiency, and consistency, (ii) the flexible which means focus on
adaptability and several meaning and implications, (iii) the hierarchic which means thorough analysis and quality
of outcome, focus on hierarchical relationships and mutual trust, (iv) the integrative which means that creativity
and exploration are highly important, that is, the use of several ways to solve problems, and (v) focus on team
work and co-operation and trust.

Need to make better decisions

Managers within the organization are frequently making bad decisions, solving the wrong problems and ignoring
uncertainty. Managers make bad decisions and find it hard to decide because of decision biases, they do not want
to give anything up nor do they want to make mistakes. That is why they postpone and only make decisions when
events force them to.

Managers frequently solve the wrong problems because they lack a structure for making decisions. As a result,
they do not generate value creating alternatives, they look for quick and partial solutions and they fail to seek out
all the necessary data or clarify objectives. They also tend to ignore uncertainty since they focus on a single
outcome, such as the most likely case, and take refuge in ambiguity or imprecise language. They use the
complexity of uncertainty as an excuse for not deciding.

In order to truly realize the impact of organizational decisions, it is useful to look at some of the figures based on
a study. The study shows that on average a person in a senior management position makes 20 critical decisions
per annum each of which is valued at almost USD 10 million. The failure rate for these decisions is estimated at
24 %, which means that the cost of wrong decisions adds up to nearly USD 48 million. From these numbers, it
becomes evident the huge impact which the organizational decisions have on the status of the organization. That
is way it is very important that correct organizational decisions are to be made on a regular basis.

Furthermore, according to several studies there are a number of benefits for making better decisions, some of
which are (i) increase in productivity and revenues and stock market values, (ii) return on investments, (iii)
superior long term strategic positioning of the organization, (iv) improve customer and employee satisfaction, (v)
improve decision quality, and (vi) improve communication.

Supervision

Everything you need to know about supervision. Supervision is direction, guidance and control of working force
with a view to see that they are working according to plan and are keeping time schedule. Further; they are getting
all possible help in accomplishing their assigned work. Supervision is a Latin Word. Super means ‘from the

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above’ and vision means ‘to see’. In ordinary sense of the term, supervision means overseeing the activities of
others. In management supervision means “Overseeing the subordinates at work with authority and with an aim
to guide the employees, if he is doing wrong.”

Supervision – meaning

‘Supervision’ comprises two words, namely ‘super’, that is, superior or extra, and ‘vision’, that is, sight or
perspective. The literal meaning of the term ‘supervision’ is to ‘oversee’ or ‘to inspect the work of other persons’.
Thus, ‘supervision’ refers to an act by which any person inspects or supervises the work of other people, that is,
whether they are working properly or not. In business organizations, there are ‘supervisors’ and ‘subordinates’.
According to M. S. Vitoles, supervision refers to the direct, immediate guidance and control of subordinates in
the performance of their jobs. Thus, the activity of supervision is concerned with the direction, guidance, control
and superintendence of the subordinates. A supervisor performs these tasks. R. C. Allan has called it a
‘responsibility job’, which is above ‘work job’. Supervision is direction, guidance and control of working force
with a view to see that they are working according to plan and are keeping time schedule. Further, they are getting
all possible help in accomplishing their assigned work. Supervision is a Latin Word. Super means ‘from the
above’ and vision means ‘to see’. In ordinary sense of the term, supervision means overseeing the activities of
others. In management supervision means “Overseeing the subordinates at work with authority and with an aim
to guide the employees, if he is doing wrong. “Overseeing is to be done at all levels of management from top to
bottom; Lower-level management or first-line supervisors oversee the work of operative staff, while middle and
top management remain busy in overseeing the work of their subordinate management members. But in the
ordinary sense of the word, supervision is concerned with directing and guiding non-management members of
the organization. Supervision – Definitions Propounded by Toft Hartley Act, Vitiates, Davis and G.R. Terry.

According to the Toft Hartley Act, 1947 (USA), ‘Supervisors are those having authority to exercise independent
judgments in hiring, discharging, disciplining, rewarding and taking other actions of a similar nature with respect
to employees. We can divide the definitions of supervision into three categories depending on the emphasis these
have laid on a particular aspect:

1. From the point of view of emphasis on maximizing production – The definition following under this category
associate’s supervision with output, that is, because of their skills, expertise and experience etc., supervisors help
their subordinates to improve their output in terms of both quantity and quality.

Thus, supervision implies guiding and looking after the work of the subordinates so as to ensure that the work is
being done according to the norms laid down for the purpose. In this way, the primary objective of a supervisor
is to help in getting the production maximized both quality- and quantity-wise.

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2. From the point of view of emphasis on workers’ performance and human relations aspect – In this category,
we include those definitions that lay emphasis on workers’ performance and human relations aspect, and which
accept the worker as a part of the social system. Thus, according to this view, supervision is the process by which
a supervisor helps the supervisee to adjust to his/her job, to develop team spirit and to assume even greater
responsibility.

3. From the point of view of emphasis on the development of the personality of the worker – In this category are
included those definitions that lay emphasis on the development of personality of the worker. According to the
experts holding this view, supervision is the act of ‘guiding the workers to develop their self in the best possible
manner’. In short, we can say that supervision involves motivating, guiding, inspecting, superintending,
developing, coordinating and controlling the subordinates.

According to Vitiates – “Supervision refers to the direct and immediate guidance and control of subordinates in
the performance of their task.” Thus, the supervision is concerned with three main functions of management, i.e.,
direction, immediate guidance and control with a view —

(1) To see, they are working, according to plans, policies, programs, instructions and the time schedule,

(2) To guide them at the work if they are doing something inconsistent to directions given and need help so as to
let them able to accomplish their assigned task, and

(3) To give them directions to get the work done, if necessary.

Significance

Supervision is primarily concerned with overseeing or watching the performance of workers under his control.
He plays an important role in the management set up. He is the person who is directly connected with the workers
and acts as a vital link between the management and workers. The significance of supervision can be explained
as follows:

1. Issue of Orders and Instructions:

The workers require guidance of supervisor at every step. He clears their doubts and tells them the proper method
of doing a job. A sub-ordinate can give better performance when he knows the work he is supposed to do.

2. Planning and Organizing the Work:

A superior acts as a planner and a guide for his sub-ordinates. A schedule of work is prepared so as to ensure an
even and steady flow of work. The supervisor lays down production targets for the workers and determines the
methods and procedures for doing the work.

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3. It is Important at All Levels:

Supervision means overseeing and watching sub-ordinates. The time devoted by top management to supervision
is only 20% whereas supervisor (or foreman or overseer or superintendent or section officer) devotes about 80%
of his time to supervision. Top management supervises managers whereas supervisor supervises workers. The
supervision at the front line or firing line is most important since actual work is done at that level.

4. Vital Link between Workers and Management:

A supervisor is a representative of the management and a very important figure from workers point of view. He
communicates the policies of the management to workers (downward communication) and also provides feed
back to the management as to what is happening at the lowest level (upward communication).

5. Motivating Subordinates:

A supervisor is a leader at the lowest rung of management ladder. He serves as a friend, philosopher and guide to
workers. He inspires team work and secures maximum co-operation from the employees. It is he who can help in
getting optimum utilization of manpower.

6. Feedback to Workers:

A supervisor compares the actual performance of workers against the standards laid down and identifies
weaknesses of workers and suggests corrective measures to overcome them. In this way, workers can improve
their performance in future.

7. Proper Assignment of Work:

A supervisor makes systematic arrangement of activities and resources for his group. He assigns work to each
worker and delegate’s authority to workers. Workers feel frustrated when the work being done by them is not
properly arranged. Some workers may sit idle whereas others may be overburdened if work is not properly
assigned.

REQUISITE QUALITIES FOR EFFECTIVE SUPERVISION ARE:

1. Tact and discretion,

2. Social skills,

3. Technical competence,

4. Empathy,

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5. Honesty,

6. Courage,

7. Self-confidence,

8. Communication skills,

9. Teaching and guiding ability and

10.Strong common sense.

The employee-centered supervisor in all functional areas of business as a first-line manager is expected to perform
following activities to secure higher productivity with employee satisfaction

a. Organize work and allot assignments to each employee;

b. Hear and redress grievances and complaints;

c. Recommend promotions, transfer, pay increases;

d. Enforce rules and regulations with equity and justice;

e. Keep subordinates well informed;

f. Keep subordinates posted about their progress;

g. Give people tools and materials; and

h. Planning, directing motivating and controlling responsibilities.

i. Help his/her workers to develop their innate qualities to improve

their performance

j. Help his/her subordinates to adjust to their job requirements and to

develop

k. Make the workers loyal towards their organization

l. Provide expertise, skills, knowledge and experience to make

workers

m. Encourage free communication

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n. Develop employee potential to an extent where they need no

supervision

o. Cooperate with other supervisors

p. Prove a good link between the management and workers

q. Solve personal problems of his/her subordinates to the extent

possible

r. Maintain discipline

s. learns without fear and hesitation

Conflict Management

Concept of conflict

The Webster’s Dictionary defines conflict as “a battle, contest of opposing forces, discord, antagonism existing
between primitive desires, instincts and moral, religious, or ethical ideals.” Conflict occurs when two or more
people or organizations disagree because their needs, wants, goals, or values are different. Hurt feelings, anger,
bruised egos, and poor communication are all the precursors to conflict. However, conflict is not the end of the
world, or your team or group. Some tools have been developed that will help us all recognize conflict and deal
with it so that our Subject: Management Concepts and Organizational Behaviour group or team can move on,
stronger than before. Most of us have been in a conflict at some point in our lives. But did we know that conflict
was coming? Could we have seen it, and “headed it off at the pass”? The visible quarters of conflict may include
: body language, disagreements, regardless of issue, withholding bad news, surprises, strong public statements,
airing disagreements through media, conflicts in value systems, desire for power, increasing lack of support, open
disagreement, lack of candor on budget problems or other sensitive issues, lack of clear goals, no discussion of
progress, failed goals, and inability to evaluate leaders fairly, thoroughly, or at all. Many people think of conflict
as negative. But conflict can be both negative and positive. Conflict is negative when it…

• Takes attention away from other activities

• Damages the spirit of the team or an individual

• Divides people and groups, and makes cooperation difficult

• Makes people or group focus on their differences

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• Leads to harmful behavior, like fighting or name-calling

But it can be positive or constructive when it…

• Clears up important problems or issues

• Brings about solutions to problems

• Gets everyone involved in solving issues

• Causes real communication

• Release emotion, anxiety, and stress in a positive way

• Helps people learn more about each other and cooperate

• Develops understanding and skills

While the definition of conflict and our feelings about it tend to be negative, conflict itself does not need to be
negative! How we manage our conflict can sway the outcome, our feelings about the way it was handled, and the
people involved conflict.

Some people aren’t willing to admit that they may not be the best at conflict management, but that doesn’t mean
that they aren’t sometimes involved in the management process. You can’t change the way that people behave or
approach conflict, but you can arm yourself with some tools to help you successfully navigate conflict when not
everyone is on the same page.

• Sherman Tanks- These intimidators get “in your face” to argue and state opinions as facts.
1. Get their attention by using their first name to begin a sentence.
2. Maintain eye contact; give them time to wind down.
3. Stand up to them without fighting; don’t worry about being polite.
4. Suggest you sit down to continue discussions. 652.
• Snipers- These individuals take potshots in meetings but avoid one-on one confrontations.
1. Expose the attack; draw them out in public and don’t let social convention stop you.
2. Get other opinions--don’t give in to the sniper’s views.
3. Provide the sniper with alternatives to a direct contest.
• Chronic Complainers- These people find faults with everyone-except themselves.
1. Politely interrupt and get control of the situation.
2. Quickly sum up the facts.
3. Ask for their complaints in writing.
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• Negativists- These individuals know that nothing new will work; they’ll disrupt group brainstorming
sessions.
1. Acknowledge their valid points.
2. Describe past successes.
3. Avoid “you’re wrong, I’m right” arguments.
• Exploders- These individuals throw tantrums that quickly escalate.
1. Give them time to regain self-control.
2. If they don’t, shout a neutral phrase such as “STOP!”
3. Take a time-out or have a private meeting with them.

Steps to Analyzing Conflict

How can you manage conflict and disagreements in ways that strengthen instead of damage personal and
professional relationships? These five steps which could help you out.

• STEP 1: ANALYZE THE CONFLICT Don’t be afraid to ask questions of everyone involved. Take in
answers from a variety of sources, and gain as much information as you can.
• STEP 2: DETERMINE YOUR MANAGEMENT STRATEGY When you understand the basis of the
conflict and everyone involved, you will need to develop a plan to manage the conflict. There are many
plans to choose from, so you can pick the one that is most appropriate for your situation.
• STEP 3: PRE-NEGOTIATION Steps must be taken for discussion to begin. This to think about includes:
• Someone has to start the conversation! If neither party is willing to do so, bring in an outsider who will
remain neutral to begin discussions. Everyone must be ready to come to the table, to work together, and
resolve the issues.
• The group must agree on rules for the discussion. Some ideas of things to include are: ways we’ll
communicate and how we’ll make the final decision. BE ORGANIZED! Location, time, place and materials
must all be in order for conflict management to work. Everyone at the table must agree on what information
is put on the table, relevant to the conflict, and how the group will get answers to questions.
• STEP 4: NEGOTIATION Negotiations should be discussions that include:
• Reasons, needs, concerns and motivations for differing positions
• Current options
• Evaluation of all the current options
• Written agreement that documents what everyone understands
• Everyone must be confident that all parties will follow through with their parts of the agreement. Make
sure everyone is on the same page and understands the expectations.
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• STEP 5: POST-NEGOTIATION Once negotiation is complete, the group should take the actions they
decided upon.
• Individuals should get support from outside parties who may have been involved in some way. Outsiders
must be on board with the terms of the agreements reached during Step 4.
• Communication and working together should continue throughout this process.

Reflection:

Identify a time when you’ve been in a conflict. How did you behave? Did you escalate or de-escalate the situation?
If you could replay the situation, what would you do differently? Identify times when you have behaved like one
of the “conflict problem people” listed in the brochure. How can we keep ourselves in check so that we don’t
repeat past mistakes? How can you implement the strategies contained in this lesson in your club or group?

STRATEGIES FOR MANAGING CONFLICT

Methods for managing conflict:

Given the right opportunity and motivation all conflict can be resolved but not always to the satisfaction of all
parties. The effect of disagreement and the methods for resolution depend on how conflict is managed by the
participants. The following are some common methods that can help to effectively manage conflict.

• Denial or Avoidance - With this approach, individuals attempt to reduce or get rid of the conflict by denying
it exists, both parties shun each other or dodge the issue of disagreement.
• Suppression - “We all get along here", "we run a happy ship", "don't rock the boat", and "nice people don't
fight", are the voices of suppression. People who use suppression play down their differences in a belief it
is better to "go along to get along."
• Power or Dominance - Power is often used to settle differences. The source of power may be physical, or
vested by authority or position. Power strategies, however, result in a win-lose situation. In other words, in
order for somebody to gain something, somebody else has to lose something. Normally the loser will not
support the final decision in the same way as the winner, and may even attempt to sabotage the decision.
• Third Party Intervention - Using this strategy requires a third party that is unbiased and is not taking sides
to supports either party in conflict. The third party may be known or unknown to the parties involved or
may even be from a different location. Some assumptions in using a third party are:
(1) The third party is trusted or respected by participants.
(2) All parties involved will accept the decision of the third party.
(3) The third party has the power or authority to rule over the decision.

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(4) The third party is an expert, has knowledge or is competent to give a decision about the issue(s) in
dispute.
(5) All parties believe a just and fair decision will be rendered.
• Compromise or Negotiation - Compromise and negotiation are often regarded as virtues in our culture.
Compromise is an agreement between parties about what each should give or get in a particular situation.
"You give a little, and I'll give a little so we can meet each other halfway", is a way we have been taught to
get along with others. It is believed all parties will profit from the compromise or at least have a feeling of
being treated fairly. Negotiation reaches an impasse when one or all participants become set in what they
are willing to give and limits have been reached. The compromise, therefore, would allow all parties to
reach an agreement with which all would be somewhat satisfied or rewarded.
• Integration or Collaboration - This approach requires all parties in a conflict situation to recognize the
legitimate abilities and expertise of each other in the process of resolution. This method attempts to find an
acceptable solution that does not necessarily require giving and getting as in a compromised solution. The
group problem solving concept is considered the optimum form of managing conflict because it encourages
a common search for creative alternatives to resolve the conflict that is rewarding to all parties.
• Summary:
The term conflict was originally defined as "striking at another", "to fight with an enemy or do battle with
opposing forces." Later meanings included "being antagonistic", or "a clash between contradictory impulses
within an individual." Conflict is inevitable because people will always have different viewpoints, ideas,
and opinions. The issue is how will you deal with or relate to these differences. It is unfortunate that negative
connotations are often associated with conflict, because, if properly managed, conflict is highly constructive
and essential to cross-cultural interactions.
There are three levels of conflict. If we are to have a clear understanding of conflict, it is important to know
the three levels and their relationship to each other.
a. Level one: intrapersonal conflict is an experience that takes place within the individual. Ask the group for
an example. (An example would be a soldier who feels guilty about telling sexual or ethnic jokes but
vigorously participates when friends are around.).
b. Level Two: Interpersonal conflict is experienced between individuals in the same location, e.g.,
coworkers, roommates, team members. It exists whenever people interact or come together to accomplish
a common goal or objective.
c. Level Three: Intragroup conflict is defined as conflict between groups in the same organization or
command. Sources of intragroup conflict are often caused by issues of group cohesion, such as "sticking
together, leadership and status, power or influence and lack of or limited resources."

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Trying to identify or determine the cause of conflict is sometimes difficult. Heightened emotions or bad
feelings may cloud the real cause of any conflict and detract soldiers from examining the facts. The cause
of conflict can also have multiple factors which makes it difficult to isolate just one cause. The following
is a list of common causes in conflict situations:
• Different values and beliefs.
• Perception differences.
• Diverse goals or objectives.
• Group status or identity.
• Race, ethnicity, or gender differences.
• Personality clash or conflict.
• Disagreement on how things should be done.
• Tension and stress.

Many believe that the negative characteristics of conflict occur because group members become closed minded
to any compromises. It often occurs when someone wants his or her own way. Hostility among group members
is normally followed by an assumption of competition that someone will win and someone will lose. These
negative forces have destructive consequences.

Earlier we stated conflict was neither good nor bad. If viewed as a natural process, conflict is the opportunity to
explore and resolve differences in a constructive manner. Conflict is constructive when individuals or group
members have a new understanding of the functions of healthy conflict and avoid the destructive negative forces.

During our discussion in this lesson, we defined conflict, explored various levels of conflict, and identified sources
of conflict, and strategies to manage interpersonal conflict. Additionally, we discussed the positive aspects,
components of conflict and how it can contribute to individual and group problem solving. We examined six
strategies for effectively managing interpersonal conflict and the negative and positive attributes of each.

Policy development

Definition - Policy development is an iterative process designed to produce continuous improvements in


workplace safety and to provide a clear indication of the policymaker's commitment to safety. A workplace's
safety policy forms the foundation of its larger health and safety program.

Companies develop policies generally to help them run efficiently in achieving their objectives. They also develop
them to comply with the legal and social environment in which they operate as well as to build goodwill with
both their employees and their customers. In this way, policies help shape the culture of an organization. They
run the gamut from simple parking policies and dress codes to operational policies to complex policies involving
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benefits and legal rights. To help companies run efficiently, these policies must be appropriate, well written, and
easily accessible. Furthermore, as management tools, they must be updated and maintained regularly to work
effectively.

Development methodology

To create appropriate policies, companies must decide who is best for the job of creating policy, ensure that they
are written clearly, and make them readily available to employees.

Who makes company policy?

Depending on the size and management style of a company, the task of creating and writing policy statements
varies widely. A small, growing company may start with unwritten policies created by the owners and move to
written ones as the need arises. In the early twenty-first century, many such companies purchase template policy
manuals, adapting them as appropriate to their businesses. As companies grow larger, their need for formal
policies grows. These policies help ensure consistency and fairness to all employees.

The management style of the company often determines who sets the policies. Typically, companies with a top-
down management style tend to delegate the policy making. Boards of directors often create policies for
executives, while executives and managers create them for their subordinates. Very large companies not only
have written policies; they often have different policies for different groups of employees. A set of travel policies,
for example, may apply only to those employees who travel, or there may even be different policies for
international and domestic travelers. The policy may even vary by level in the organization.

Policies are created to help business run more smoothly. Knowing how to develop complete and accurate
statements for a specific audience will help organizations succeed in having up-to-date policies that work
effectively for them.

Importance - Policies provide guidance, consistency, accountability, efficiency, and clarity on how an
organization operates. This offers members of the co-operatives guidelines and principles to follow.

Purpose - Policy development is the process of deciding what should be achieved, what should be done to
achieve it, how to do it efficiently and economically, who should do it, etc.

Policy and procedure development occurs in 5 main stages: Planning, development, review, implementation and
final review.

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Governance

The international standard on social responsibility, ISO 26000, defines organizational governance as "a system
by which an organization makes and implements decisions in pursuit of its objectives." Governance systems
include the management processes designed to deliver on performance objectives while considering stakeholder
interests.

The Global Association of Risk Professionals (GARP) highlights the importance of concepts such as credibility,
transparency, and accountability in establishing effective governance. Corporate governance is, GARP notes,
"doing the right things for the organization and doing things the right way independent of personal interests." In
this context, "organization" can refer to many different types of groups. For example, a business, an institution, a
professional society such as ASQ, and even a family may be considered an organization. Governance is applicable
in these types of organizations.

The United Nations Economic and Social Commission (UNESC) indicates that the eight major characteristics of
good governance are that it is "participatory, consensus-oriented, accountable, transparent, responsive, effective
and efficient, equitable and inclusive, and follows the rule of law. It assures that corruption is minimized, the
views of minorities are taken into account, and that the voices of the most vulnerable in society are heard in
decision making. It is also responsive to the present and future needs of society."

While governance starts at the top, different structures have to exist to ensure that decisions and accountabilities
are carried throughout the enterprise or organization. Table 1 compares models of good governance and shows
that regardless of the model, good governance is a byproduct of the values or principles an organization adopts,
the strategies it puts in place to set direction, the policies it creates to establish boundaries, and the processes it
applies to conduct operations.

Good corporate governance ensures that a business’s environment is fair and transparent and that employees can
be held accountable for their actions. Conversely, weak corporate governance leads to waste, mismanagement,
and corruption.

GRC: (Not in syllabus)

Governance, risk, and compliance (GRC) are increasingly being treated as three parts of a single integrated
framework with the purpose of providing a holistic view of organizational performance.

Business risks need to be identified, measured, mitigated, and controlled within the context of a management
system. Compliance refers to the scope of regulations, legal requirements, industry standards, and business rules
to which organizations must not only adhere and abide, but must demonstrate fulfillment.

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As GRC management systems increase robustness, they can add business value to organizations by improving
operational decision making and strategic planning. By incorporating GRC considerations into a social
responsibility management system, the organization can more effectively manage its social responsibility
influence.

Corporate governance is important because it creates a system of rules and practices that determine how a
company operates and how it aligns the interest of all its stakeholders. Good corporate governance leads to ethical
business practices, which leads to financial viability.

The Role of Governance - Governance is the practice of the board of directors coming together to make decisions
about the direction of the company. Duties such as oversight, strategic planning, decision-making and financial
planning fall under governance activities.

Governance is defined as the decisions and actions of the people who run a school, nation, city or business. An
example of governance is the mayor's decision to increase the police force in response to burglaries.

Basics of Office Administration

Within this definition, successful administration appears to rest on three basic skills, which we will call technical,
human, and conceptual.

Office Administrator Job Responsibilities:

Maintains office services by organizing office operations and procedures, preparing payroll, controlling
correspondence, designing filing systems, reviewing and approving supply requisitions, and assigning and
monitoring clerical functions.

List of Administrative Duties

• Storing Information.

• Finding Information.

• Answering Phones.

• Greeting Visitors.

• Buying Equipment and Supplies.

• Create and Manage Written Communications.

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• Meeting Preparation.

Offices certainly don’t run themselves. Successful businesses have a team of professionals working behind the
scenes, using their administrative skills to ensure the smooth operations of the company. The role of an office
administrator is an important one. This person keeps on top of all the basic day-to-day needs of an office and is a
great resource to employees in all levels of the company.

There are many skills that make for an exceptional office administrator. If you’re thinking about a career in
business office administration, you’ll want to get some idea of what’s involved. Here are some key administration
skills of the position.

Organization and Time Management

The business office administrator is usually responsible for a wide range of tasks such as filing, answering
company emails and phone calls, booking appointments and meetings, bookkeeping, data entry, payroll, etc. As
such, employees in this role need strong organizational skills to succeed. Often an office administrator is
responsible for keeping track of not only his/her tasks and calendar but also that of the other office workers and
the calendar of the executives of the business. If an administrator lets tasks get away from him/her, the result can
be chaos for the rest of the office.

Communication

Due to the fact that the office administrator has a hand in so many different office tasks, he/she must interact with
other staff and with customers on a regular basis. This means that having exceptional communication skills (both
verbal and written) is imperative in this position. To have good communication skills a person must not only
know what to say but how to say it. Having tact and speaking (and writing) in a professional and non-
confrontational manner goes a long way to creating a harmonious office environment. In some instances, the
administrator may even be called upon to deal with customer complaints, so having the ability to communicate
clearly and calmly can really help diffuse tense situations.

Leadership

An office administrator typically has at least a few employees that he/she is responsible for overseeing. Delegating
work and staying on top of its progress often fall under the business office administration heading. A good office
administrator leads by example and encourages teamwork and cooperation between office staff and other
employees. Those in the position must be approachable so that employees working for them will come to them

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when guidance is needed. They also need to be comfortable with setting the work standards for the office and
taking measures to ensure that those requirements are met.

Computer Know-How

Office managers typically have a large number of responsibilities. The exact tasks vary greatly depending on the
type of business involved, but computer competence is high on the list of required office administration skills.
Computer tasks usually involve data entry, spreadsheets, and general IT tasks, so anyone seeking this kind of job
should ensure that he/she has good knowledge of the most commonly used office software programs. Having a
decent typing speed and reasonable online research skills are also great assets for the position.

Customer Service

In many instances, the office administrator is the first person customers deal with when they call or come into the
office. As such, people in this position need to know how to deal with patrons in a professional and respectful
manner. Sometimes, as the first point of contact, the administrator will be tasked with dealing with customer
complaints or will at least be the one to refer concerns to the appropriate person. Handling these situations in a
tactful way is crucial to maintaining a professional setting.

Problem Solving and Ability to Shift Gears

Due to the fact that office administrators have their hands in so many different aspects of a business, being
competent at problem-solving is a must. Sometimes office managers must deal with the conflict between other
staff members. These issues need to be dealt with quickly and effectively to maintain an efficient workspace.
Other times administrators need to rapidly switch gears from working on one project to tackling another more
pressing one that has just popped up. Knowing how to undertake problems and in what order are essential office
administration skills.

Office administrators work at the heart of any effective business. The most impressive ones use their
administrative skills to stay on top of daily office functions, working ahead on tasks whenever there is a chance,
and anticipating the unexpected. People may not always notice all the hard work of an office administrator, but
they surely appreciate the difference their efforts make.

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Documentation of Activities and Projects:

Project documentation is the process of recording the key project details and producing the documents that are
required to implement it successfully. Simply put, it's an umbrella term which includes all the documents created
over the course of the project.

Project documents come in many forms – from project proposals and business cases, to project plans and project
status reports.

Examples of project documents

It's difficult to strictly define what should be documented over the course of a project, as it's strongly dependent
on the kind of project you are managing. A major project at a big enterprise usually requires a lot more paperwork
than a small-scale initiative at an early-stage startup.

But some basic documents are needed in most cases. Here are five project document examples that your project
will likely require.

Project proposal

A project proposal is written to initiate a project – it's the first step in the project management process. The goal
of this document is to convince the decision-makers and stakeholders that the idea behind the project is worth
pursuing. A project proposal needs to outline the project's core value proposition, which is often done in the form
of a business case.

Project charter

A project charter is another key project documentation example. This document lays the foundation for the project
by covering the high-level project planning. It needs to outline how the business goals of the project will be
achieved by explaining the key requirements, budget, tasks, roles, and responsiblities of the project. It’s the first
document you write after your project proposal is formally approved.

Project plan

After the high-level planning is complete, the project manager creates a more detailed project plan. It serves as a
roadmap for the project, defining the key project milestones and placing them on a timeline. This document
evolves together with the project, capturing all changes and decisions and facilitating communication among
project stakeholders.

Project status report

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Depending on the scope of your project and the size of our team, keeping everyone up-to-date may become
difficult. Project status reports are written to keep all project stakeholders – both internal and external – on the
same page. These documents usually contain an overview of the progress you've made so far and the next steps
you are planning to take.

Project retrospective

Every project is a learning opportunity. What went well? What could be improved next time? After you conclude
the project, sit together with your team and do a project retrospective. Document your lessons learned in a separate
document and use it as a reference for your next project.

The value of project documentation

The first and perhaps the most important reason why you should document your project is simple – writing things
down forces you to think through your idea and to verify if it actually makes sense. It also makes your project
much easier to manage by helping your team to:

• Clarify the project expectations and objectives

• Break down the work into manageable blocks

• Plan and assign resources

• Ensure that all stakeholders are informed about the progress

But it can also create long-term benefits for your organization even after the project is concluded:

• Faster new employee onboarding. Good project documentation gives new team members access to all
the knowledge that has been collected over the course of your projects, both past and ongoing. New team
members are able to immediately understand decisions made in the past and to find relevant information
without having to ask others on the team over the course of many weeks.

• Better cross-team alignment. Thorough documentation brings clarity and transparency to what everyone
is working on. As a result, decisions and discussions don't get scattered over chat and email, less time is
spent in meetings, and work is less likely to get duplicated.

• More effective knowledge management. The insights and lessons learned from one project can be
transferred to new projects. Capturing and sharing this knowledge can help you develop new best
practices, prevent repeated mistakes, and continuously improve your team's overall performance.

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But in order to deliver on these goals, your internal documentation needs to be well-written, accurate, and up-to-
date. In this guide, we will cover the tools and best practices you can use to improve the quality of your project
documentation.

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