17] Identify the structural and personal factors that contribute to conflict.

Conflict arises out of inconsistency. Inconsistency in different matters among group in an organization creates inter-group conflict.

Differences in group goals:

The members of different groups also differ in terms of their family background, culture, education and training.

Need for joint decision making:

The limited resources at the disposal of the organization need to be shared by the groups.

The different departmental heads require joint decision making for establishing co-ordination at the higher levels of the organization.

The timely completion of interdependent jobs needs to have scheduling for them.

Difference in group perception:

Perceptions differ depending upon differing views about goals. Different sources of information to different members may also affect their

perception about organizational and group goals. Inadequacy of information may also affect perception of members.

Sources of conflict in organizations:

The structural factors and the personal factors are also called as the external factors and the internal factors respectively.

Conflict

Specialization- When jobs are highly specialized, employees become experts at certain tasks.Eg: In case of a software company while there is one specialist for data bases, another for statistical packages and yet another for expert systems. As the highly specialized people have little awareness of the tasks that others perform such a case leads to conflict among the specialists.

Interdepence- Interdependence occurs when two or more groups depend on each other to accomplish their tasks. Depending on other people to work done is good when the process works smoothly. However, when problem arises, it becomes easy to blame other party and as such conflict escalates. The potential of conflict increases as the degree of interdependence increases.

3 types of task interdependence:1] Pooled Interdependence: Pool interdependence occurs with additive tasks when the performance of different groups is simply combined or added together to achieve the overall performance.

2] Sequential Interdependence: Sequential Interdependence occurs when the task of one group cannot be completed unless the preceding group has completed its task.

Structural Factors:

Specification

Interdependence

Common Resources

Goal differences

Authority Relationships

Status Inconsistencies

Jurisdiction Ambiguities

Personal Factors:

Skills and Abilities

Personalities

Perceptions

Values and ethics

Emotions

Communication Barrier

Cultural Differences

Eg: Incase of assembly line manufacturing, the products must first pass through department A before they can proceed to department B.3] Reciprocal Interdependence: Such Interdependence also occurs with conjunctive tasks when each group depends upon the performance of each of the other group.

Group Differences: Sometimes different work groups having different goals have incompatible goals.Eg: In a cable television company the sales person’s goal was to sell as many new installations as possible. This created problem for the service department, because its goal was timely installation.

Jurisdictional Ambiguities: Jurisdictional ambiguities refer to the presence of unclear lines of responsibility within an organization. Recall have you ever contacted your own university administration for some problem and had you been asked to go to different people and departments?

The sources or causes of conflict just discussed are external or structural in nature. There are other conflicts also that come from differences among individuals also called personal/internals, sources or causes of conflict.

Skills and abilities: Workforce in an organization/department is composed of people with varying levels of skills and abilities. Such diversity in skills and abilities leads to conflict, especially when jobs are interdependent, workers may find it difficult to work with a new boss, fresh from university knowing a lot about managing people but unfamiliar with the technology they are working.

Personalities: It is differences in personality that neither the manager likes all of his co-managers and subordinates nor all of them like the manager. This creates conflict among them. Usually an abrasive personality is rejected by others. A person who ignores interpersonal aspects of work and feelings of colleagues.

Values and ethics: People also hold different beliefs and adhere to different value systems.Eg: Older workers value company; loyalty and probably would not take a sick day when they were not really sick/ill but young workers valuing mobility may take a sick day to get away from work.

Emotions: The moods of the people can also be a source of conflict in the work place. Problems at home often spill over into the work arena and the related moods can be hard for others to deal with.

Communication Barrier: Communication barriers such as physical separation and language can create distortions in messages and these in turn can lead to conflict. Value judgment also sometimes serves as barriers.

Source: SS. Khanka. Referred pages-142, 143 and 144.

3] What effects will the globalization of business have on a company’s culture? How can an organization with strong ‘’made in India’’ identity compete in the global marketplace?

Globalization is the process of international integration arising from the interchange of world views, products, ideas, and other aspects of culture. Globalization describes a dynamic, interplay across cultures of macro-social forces including the religious, political, and economic in which the particularities of a group are both eroded and universalized. Advances in transportation and telecommunications infrastructure, including the rise of the Internet, are major factors in globalization, generating further interdependence of economic and cultural activities.

Impact of globalization on business:

Competition:

Globalization leads to increased competition. This competition can be related to product and service cost and price, target market, technological adaptation, quick response, quick production by companies etc. When a company produces with less cost and sells cheaper, it is able to increase its market share.

Customers have a large multitude of choices in the market and this affects their behaviors: they want to acquire goods and services quickly and in a more efficient way than before. They also expect high quality and low prices. All these expectations need a response from the company, otherwise sales of company will decrease and they will lose profit and market share. A company must always be ready for price, product and service and customer preferences because all of these are global market requirements.

Exchange of Technology:

One of the most striking manifestations of globalization is the use of new technologies by entrepreneurial and internationally oriented firms to exploit new business opportunities. Internet and e-commerce procedures hold particular potential for SMEs seeking to broaden their involvement into new international markets.

Technology is also one of the main tools of competition and the quality of goods and services. On the other hand it necessitates quite a lot of cost for the company. The company has to use the latest technology for increasing their sales and product

quality. Globalization has increased the speed of technology transfer and technological improvement. Customer expectations are directing markets. Mostly companies in capital intensive markets are at risk and that is why they need quick/rapid adapting concerning the customer/market expectations. These companies have to have efficient technology management and efficient R&D management.

Knowledge/Information transfer:

Information is a most expensive and valuable production factor in the current environment. Information can be easily transferred and exchanged from one country to another. If a company has a chance to use knowledge and information then it means that it can adapt to this global changing. This issue is similar with the technology transfer issue in global markets. The rapid changing of the market requires also quick transfer of knowledge and efficient using of that knowledge and information.

Culture serves 4 basic functions in an organization:

1. Culture provides a sense of identity to members and increases their commitment to the organization. When employees internalize the values of the company, they find their work intrinsically rewarding and identify with their fellow workers.

2. Culture is a sense-making device for organization members. It provides a way for employees to interpret the meaning of organizational events. Leaders can use organizational symbols like corporate logos as sense-making devices to help employees understand the changing nature of their organizational identity. Symbols may have to change to reflect the culture in the organization.

3. Culture reinforces the values in the organization and

4. Culture serves as a control mechanism for shaping behavior. Norms that guide behavior are part of culture. If the norm of the company is to promote team work, its culture must reinforce those norms. The company’s culture is must be characterized by open communication, co-operation between teams and integration of teams.

Example of ‘’made in India’’ brand- To explain this concept I would like to take up the example of Mumbai based Crest Communications, the creator of Piggley Winks, has tie-ups with television networks in the US to produce animated content.

Another example is Chennai-based Pentamedia Graphics, which has produced the number of 3D animated movies in the world-six-and has a few more under production.

India’s software success story is graduating into the creative space. It is now blending its IT skills with its legendary prowess in storytelling to cook up an immensely entertaining broth. India is now becoming a key player in the animation industry. While animation is just one nich of the entertainment industry, it is still big business. India is said to have earned revenue ranging between US$ 200 and US$ 3oo million-a growth of over 20%during the year

While India’s share in the world animation is fairly small, the potential is huge, as the needs of the film and television industry are growing worldwide. The appetite for animation is on surge. The importance given to Indian market is because of its global need to cut production cost.

The co-production model also allows Indian animation companies to work with film-makers from Japan, Europe and other parts of Asia. The story of ‘’ Tenali Raman’’ was a massive hit in cartoon network not only because of its old stories but for its Indian Fables and folk tales and mythology, the quality and less cost adds a plus point to an Indian company.

So to compete in global market a company with ‘’made in India’’ brand should be cost effective, quality and oriented adhere the myth of Indian culture.

Source: International Business by- Arun Jain, Charles W L Hill, pages referred- 143 and 144 and International business by- N. V. Badi.

Website- www.ask.com, www.investopedia.com, www.indianexports.com.

4. How does a manager strike a balance between encouraging employees to celebrate their own culture and forming a single unified culture within the organization?

Culture refers to the system of values and norms that are shared among a group of people and that when taken together constitute a design for living. Culture includes system of values; and values are among the building blocks of culture.

Edward Tylor defines culture as’’ that complex whole which includes knowledge, belief, art, morals, laws, customs and other capabilities acquired by man as a member of society’’.

The word 'culture' is most commonly used in two senses:

4. An integrated pattern of human knowledge, belief, and behavior.

The outlook, attitudes, values, goals, and practices shared by a society.

Organizational culture- is the collective behavior of humans who are part of an organization and the meanings that the people attach to their actions. Culture includes the organization values, visions, norms, working language, systems, symbols, beliefs and habits. It is also the pattern of such collective behaviors and assumptions that are taught to new organizational members as a way of perceiving, and even thinking and feeling. Organizational culture affects the way people and groups interact with each other, with clients, and with stakeholders.

The 3 perspective of organizational culture on an employee:

1. The Strong Culture Perspective: It states that companies with ‘’strong’’ culture perform better than other organizations. A strong culture is an organizational culture with consensus on the values that drive the company and with an intensity that is recognizable even to outsiders. Thus, a strong culture is deeply held and widely shared.Eg- Strong culture of IBM. They are known for conservatism, with a loyal work force and emphasis on customer service.

Strong cultures are thought to facilitate performance for 3 reasons:

a) Goal alignment- all employees share common goals.

b) They create a great sense of motivation because of the values shared by the members.

c) They provide control without the oppressive effects of a bureaucracy.

2. The Fit Perspective: The fit perspective argues that a culture is good only if it ‘’fits’’ the industry or the firm’s strategy.Eg- A culture that values a traditional hierarchy structure and stability would not work well in computer manufacture industry, which demands fast response and lean, flat organizations. Three particular characteristics of an industry may affect culture: the competitive environment, customer requirements and societal expectations. In the computer industry, firms face a highly competitive environment, customers who require highly reliable products and a society that expects state-of-the-art technology and high-quality services.

3. The Adaptive Perspective: Its theme is that only cultures that help organizations adapt to environmental changes are associated with excellent performance. An adaptive culture is one that encourages confidence and risk taking among employees, has leadership that produces change, and focuses on the changing needs of customer. Eg- 3M is a company with an adaptive culture in that it encourages new product ideas from all levels within the company.

To justify the above question, here is an example of HP Company which organizes any events in their department to retain the culture and strike a balance in culture:

In this event we can see how HP Company is imparting Dandiya dance as a way of balancing individual culture. And hence employees of the north feel secure about the tradition being maintained by company and increase their loyalty. Here we can see how company is encouraging employees to celebrate their own culture.

Another example of HP Company being Westernize:

Here company strikes to balance both individual culture and organizational culture.

In the below example we can see how HP Company tries to attract even rural people by conducting ‘’The Village’’ festival.

These are the way in which a company can strike a balance between individual culture and organization culture.

In the below picture we can see a group activity being conducted by HP Company so that the employee’s group cohesiveness increase and the same

enthusiasm be maintained in team. We can also see all the employees in the entire department being involved:

Sources: organizational behavior by- Nelson, page referred- 455.Websites: www.hp.com, www.facebook.com.