PGPM-309ETHICS AND VALUES

SyllabusUNIT -I

Model of management in the Indian socio- political environment; Work ethos; Indian heritage in production and consumption; Indian insight into TQM.

UNIT –IIStress and corporate management- Indian perspective; Teaching ethics; Trans-cultural human values in management education.

UNIT –IIIRelevance of values in management (Indian Perspective); Need for values in global change-Indian perspective; Values for managers; Holistic approach for managers in decision making Secular versus spiritual vales in management.

UNIT – IVPersonal growth and lessons from ancient Indian educational system; Science and human values.

Model of management in the Indian socio- political environment

Unit Objectives• Define the term and explain the importance of management• Understand the western approach to management• Understand the impact of technology and the features of

emerging organizations• Understand the importance of human resource in present

organizations• Learn the Indian model of management, which is based on

spirituality• Analyze and perform a comparison between the western and

Indian models of management.

Management• R.Kreitner, in his book “Management: A problem solving

process, described management as “a problem-solving process of effectively achieving organizational objectives through the efficient use of scarce resources in a changing environment”.

• Whenever a group is formed to achieve certain common goals, the management is needed to lead, coordinate and integrate the individual activities of a group, and secure teamwork to accomplish organizational goals.

• However, the importance of management was emphasized by JFK, when he said, “ The role of management is to improve the standards of living for all people through effective utilization of human and material resources”.

• In addition, value-oriented and holistic management enables us to lead a much better life. This will bring a greater happiness.

Management (Continued..)• When you combine spiritual life with knowledge,

values and skills, the benefits to the individuals and the society are multiplied. People who have achieved this has produced extraordinary results.

• Management must be driven by consciousness and by soul. It must be value-driven and should adopt a holistic approach. A good man with a noble heart and soul makes a good and responsible manager.

• Under the present environment, the quality and performance of managers determines both the survival as well as the success of an organization. The availability of capable management experts is a basic and critical resource today. They ensure the economic advancement and the growth of the organization in this competitive world.

Western Approach of Management

• Planning• Organizing• Staffing• Directing• Coordinating• Controlling

Planning

• Determination of long-term, medium-term and short-term objectives

• Development of strategies and courses of action to be followed

• Formulation of policies, procedures and rules for the implementation of the strategies

• Putting control systems in place to assess if the objectives have been achieved.

Organizing

• Identification of activities in relation to what has been planned

• Grouping of activities to create departments.• Assignment of jobs to individuals on the basis of their

skills• Delegation of authority and responsibilities• Establishment of organizational culture that is

conducive to the efficient functioning of the various departments, and promotion of good interpersonal relationships.

Staffing

• Manpower planning• Recruitment• Selection• Placement, induction and orientation• Performance Appraisal• Transfers, Promotions, termination and layoff• Training and development

Directing

• Leading employees to perform their tasks efficiently to achieve organizational objectives

• Communicating with employees, both vertically and horizontally

• Motivating the emploees

Coordinating

• Authority-responsibility relationship• Unity of command• Unity of direction• Effective communication• Effective leadership

Controlling

• Formulation of standards• Measurement of actual results• Comparison of actual results with standards• Identify deviations• Taking Corrective/remedial action• Implementation of corrective action• Evaluation

Impact of Technology

• Joan Woodward has divided technology into three categories.

• Small-Batch Production (customized, considerable craftsmanship is necessary)

• Mass production (one or few products, assembly line system, sophisticated equipments, one group is dependent on others)

• Continuous production (a few products using considerable automation e.g. chemical plants)

Structure and technology

• The right combination of structure and technology is critical to the success of an organization.

• In small-batch and continuous plants that have flexible structures with small work groups at the bottom, were successful. The more rigidly structured plans were less successful.

• In contrast, successful mass production operations were rigidly structured and had large work groups at the bottom.

Features of emerging organizations

• Lean and strong teams, fewer layers of command.• Need for smart-working, intelligent and experienced

senior managers who are multi-disciplined and are able to command, control and supervise their subordinates who are doing multi-skilled jobs.

• Even the subordinates are able to work effectively with little or no supervision. They should be self-propelled in work ethics.

Changes caused by advanced technology• Reduced product life cycles• Faster development of new products• Smaller production runs. • Quality and Productivity (zero-defect products)• TQC as well as company wide TQM• Equipment and process technology are considered a

strategic resources• Flexible manufacturing systems• Increasing importance to project management• Changes in concepts of efficiency and productivity (from

economies of scale to economies of scope), which place greater emphasis on flexibility and innovations

• Shift to a new techno-economic paradigm based on a new set of concepts of quality, responsiveness, speed of market, flexibility, and efficiency in service.

• Technological changes in information handling equipment and office automation.

• Competitive strategy based on technology and training of employees in multiple work skills, participation and responsibility.

• CAD and CAM• Increasing the role of technological forecasting.• Increasing the use of automated decision aids, such as the

decision support system (DSS), expert system (ES) and simulation experiments.

• Combination of technologies, i.e. technology fusion or development of “hybrid” technologies.

Organizational Implications of Technological Changes

• Products and services should be world-class. TQM/JIT, and CIMSs will ensure this.

• There should be free-flow of communication• Resources should be organized along the common

boundary of engineering and production activities.• The organization should effectively use temporary

work teams and task forces.• Planning and decision-making in operating functions

is delegated down the line.• Role redesign for the middle management, in view of

formation of work teams and empowerment.

• Workers must possess organization culture traits like self-discipline, broader skill variety, self-regulation and have a desire to achieve high performance.

• Streamlining the operational processes with environmental scanning.

• Organizing of problem-solving sessions, review progress meetings and chalking out future planning

• Continuous market surveys should be organized to update market trends, customer expectations, and to identify new innovations and new technology.

• Organizations should develop the capacity to collect, collate, interpret, and disseminate information for decision-making.

Organizational Implications of Technological Changes

Emerging Profile of Human Resource• Organizational effectiveness largely depends on the quality of

human resources that are hired by the organization, the prevailing organizational culture, and commitment of the owner to the welfare of the employees.

• T & D is a continuous process.• The performance-reward system must be among the best that is

prevailing in the industry.• Employee efforts must be recognized.• The need pattern of the employees sould be identified. A synergy

of individual goals and organizational objectives should be achieved.

• Employees should be empowered. The organization must implement human policies that are transparent and can be modified with change in environment.

• The organization should involve employees in the process of decision-making.

• Information plays a vital role in the effectiveness of the organization. It must be widely distributed throughout the system, and rapid diffusion across horizontal levels must be achieved.

• There should be widespread promotion of values, norms, beliefs, an understanding of people in the organization. This will lead to productive elan and ethos.

• Excellent companies are obsessed by their concern for being the best in terms of quality, reliability, customer service, and employees’ performance. The management with people’s participation can achieve such excellence.

• The top management acts as a role models, and shapes the content of symbols, ideologies, beliefs, rituals, and myths.

• A culture of organizational citizenship should prevail for organizational effectiveness.

Model of Management in the Indian Socio-political Environment

• Market mechanism and market forces• Impact of LPG• FDI and entry of MNCs in some sectors• Change / transformation is the key. Factors that comprise of

change/transformation are – technology, – computer science, – information technology, – biochemistry, – processes, and – engineering innovations

• It is, therefore, necessary for organizations to:– Adopt these factors in a phased manner– Educate employees about the intended change– Gear the employees for the change– Implement change through the employees (brings

a sense of belongingness amongst the employees)

Indian Model of Management• Human Values (spiritual, ethical and moral)• Holism (Harmony amongst soul, body, mind

and intellect).• Ethics and their vulnerability (equity)• Interdependence (demands equality of

obligation in personal, commercial, governmental or professional context)

• Formal versus personal relationship