Master of Business Administration-MBA Semester 3

MU0002 – Management and Organization Development - 2 Credits

Assignment Set- 1

Note: Each question carries 10 Marks. Answer all the questions.

Q.1 Discuss the characteristics of management. [10]
Q.2 Explain the difference between Management Development and Organization Devel
opment [10]
Q.3 Explain the three stages Model of Change process. [10]

1. Discuss the characteristics of Management.

Ans:
Management is a distinct activity having the following salient features or chara
cteristics:
i) Goal- Oriented: Management is a purposeful activity. It coordinates the effor
ts of workers to achieve the goals of the organization. The success of managemen
t is measured by the extent to which the organizational goals are achieved. It i
s imperative that the organizational goals must be well-defined and properly und
erstood by the managers at various levels.
ii) Economic Resource: Management is one of the factors of production together w
ith land, labour and capital. It is the most critical input in the success of an
y organized group activity. It is the force which assembles and integrates other
resources, namely, labour, capital and materials. These factors do not by thems
elves ensure production; they require the catalyst of management to produce good
s and services required by the society. Thus management is an essential ingredie
nt of an organization.
iii) Distinct Process: Management is a distinct process consisting of such funct
ions as planning, organizing, staffing, directing and controlling. These functio
ns are so interwoven that it is not possible to lay down exactly the sequence of
various functions or their relative significance. In essence, the process of ma
nagement involves decision-making and putting of decisions into practice.
iv) Integrative Force: The essence of management is integration of human and oth
er resources to achieve the desired objectives. All these resources are made ava
ilable to those who manage. Managers apply knowledge, experience and management
principles for getting the results from the workers by the use of non-human reso
urces. Managers also seek to harmonize the individuals’ goals with the organizatio
nal goals for the smooth working of the organization.
v) Intangible Force: Management has been called an unseen force. Its presence is
evidenced by the result of its efforts- orderliness, informed employees, buoyan
t spirit and adequate work output. Thus, feeling of management is result-oriente
d. One may not see with the naked eyes the functioning of management but its res
ults are apparently known. People often remark of the effectiveness ( or ineffec
tiveness) of management on the basis of the end results, although they can’t obser
ve it during operation.
vi) Results through others: The managers cannot do everything themselves. They m
ust have the necessary ability and skills to get work accomplished through the e
fforts of others. They must motivate the subordinates for the accomplishment of
the tasks assigned to them.
vii) A Science and Art: Management has an organized body of knowledge consisting
of well-defined concepts, principles and techniques which have wide application
s. So it is treated as a science.
The application of these concepts, principles and techniques requires specialize
d knowledge and skills on the part of the manager. Since the skills acquired by
a manager are his personal possession, management is viewed as an art.
viii) System of authority: Management as a team of managers represents a system
of authority, a hierarchy of command and control. Managers at different levels p
ossess varying degrees of authority. Generally, as we move down in the manageria
l hierarchy, the degree of authority gets gradually reduced. Authority enables t
he managers to perform their functions effectively.
ix) Multi-disciplinary subject: Management has grown as a field of study (i.e.
discipline) taking the help of so many other disciplines such as Engineering, An
thropology, sociology and Psychology. Much of the management literature is the r
esult of association of these disciplines. For instance, productivity orientatio
n drew its inspiration from Industrial Engineering and human relations orientati
on from psychology. Similarly sociology and operations Research have also contri
buted to the development of management science.
x) Universal Application: Management is universal in character.
The principles and techniques of management are equally applicable in the field
of business, education, military, government and hospital. Henri Fayol suggested
that principles of management would apply more or less in every situation. The
principles are working guidelines which are flexible and capable of adaptation t
o every organization where the efforts of human beings are to be co-ordinate.

2. Explain the difference between Management Development and Organizational Deve

lopment.
Ans:
“Management development is all those activities and program’s when recognized and c
ontrolled, have substantial influence in changing the capacity of the individual
to perform his assignment better and in so doing are likely to increase his pot
ential for future management assignment”
Organization developments differ from management development. While the latter a
ims at developing the managers individually for the accomplishment or better per
formance in organizational setting, the former goes one step further and purport
s to change the entire organizational climate where the managers work. Miner has
drawn difference between two processes. According to him, there are four attrib
utes of effective managers in large organization. These are;
(i) A positive attitude towards authority
(ii) Competitiveness
(iii) Assertiveness and
(iv) A sense of responsibility. He feels that management development reinforc
es the above four qualities and helps managers cultivate and develop the swill t
o manage, whereas OD efforts within organizations may cause confusion and chaos
for incoming human resources if the organization is underplayed and the humanist
ic dimension alone is emphasized.
If OD efforts train people towards anti-authority value, more attention to peer-
groups, less individual competitiveness, and greater display of feelings and emo
tions, then would the results be functional for managing organization activity i
n a competitive world? Thus, according to him, OD tries to fit the organization
to the men; MD tries to fit the men to the organization, with their existing obj
ectives and structure. However, he appears to be biased against OD and the real
distinction between OD and MD lies in between these two extremes. Burke and Schm
idt have made this difference more clear which is presented in the following tab
le. Factors Management Development Organization Development Objectives Increasin
g manager’s contributions to goal accomplishments. Changing the nature of the orga
nization. Focus Train and equip employees and managers to perform better in exis
ting organization Focus on design, not on the managers; focus on achieving impro
vement in design.
• Approach Time Educative and training Short- range.
• Problem-solving approach.
• Long-range strategy for organizational innovation and renewal.
• Specialist No special requirement Trained specialists required.
3. Explain the Three stages model of change.
Ans:
The process of 3 stages model of change are as follows:
Stage 1: Unfreezing: Creating motivation and readiness to change through
a. Disconfirmation or lack of confirmation
b. Creation of guilt or anxiety
c. Provision of psychological safety
Stage 2: Changing through Cognitive Restructuring: Helping the client to see thi
ngs, judge things, feel things, and react to things differently based on a new p
oint of view obtained through
a. Identifying with a new role model, mentor, etc.
b. Scanning the environment for new relevant information
Stage 3: Refreezing: Helping the client to integrate the new point of view into
a. The total personality and self-concept.
b. Significant relationships. In stage1, Unfreezing, disconfirmation creates pa
in and discomfort, which causes guilt and anxiety, which motivate the person to
change. But unless the person feels comfortable with dropping the old behaviors
and acquiring new ones, change will not occur. That is, the person must develop
a sense of psychological safety in order to replace the old behaviors with new b
ehaviors.
In stage 2, moving, the person undergoes cognitive restructuring. The person acq
uires information and evidence showing that the change is desirable and possible
. This motivating evidence is gained by, for example, identifying with ex-smoker
s and learning about the health risks of smoking.
The primary task in stage 3, refreezing, is to integrate the new behaviors into
the person’s personality, and attitudes. That is, stabilizing the changes requires
testing to see if they fit-fit with the individual, and fit with the individual’s
social surroundings. The phrase significant relationships refer to important pe
ople in the person’s social environment-do these significant others approve of the
changes.