LOVELY PROFESSIONAL UNIVERSITY

PAGWARA,PUNJAB

ASSIGNMENT OF BASIC OF MANAGEMENT

[MEC85D]

Represented by:-Guided by:-

Name :- Rohit Raj Singh M S Ubhi
Reg no.:-11716601
Section:- JE702

April,2020
QUESTIONS

1.Explain different methods of performance

appraisal.
Each method of performance appraisal has its strengths and weaknesses may be
suitable for one organisation and non-suitable for another one. As such, there is
no single appraisal method accepted and used by all organisations to measure
their employees’ performance.

All the methods of appraisal devised so far have been classified differently by
different authors. While DeCenzo and Robbins’^ have classified appraisal
methods into three categories: absolute methods, relative methods and objective
methods; Aswathappa has classified these into two categories past-oriented and
future-oriented.

A more widely used classification of appraisal methods into two categories, viz.,
traditional methods and modem methods, is given by Strauss and Sayles”. While
traditional methods lay emphasis on the rating of the individual’s personality
traits, such as initiative, dependability, drive creativity, integrity, intelligence,
leadership potential, etc.; the modem methods, on the other hand, place more
emphasis on the evaluation of work results, i.e., job achievements than the
personal traits! Modem methods tend to be more objective and worthwhile.

Traditional Methods of Performance Appraisal

The Performance Appraisal is a periodic evaluation or the assessment of the

employee’s job performance against the pre-established standards such as
quality and quantity of output, job knowledge, versatility, supervision,
leadership abilities, etc.

Rating Scales: The numerical scale is prepared that represents the job
evaluation criterion such as the output, initiative, attendance, attitude,
dependability, etc. and ranges from excellent to poor. Thus, each employee is
given the rating based on his performance against each set criteria and then the
consolidated score is computed accordingly. The rating scales are one of the
easiest traditional methods of performance appraisal and can be applied to any
job.

Checklist: A checklist of employee traits in the form of statement is prepared

where the rater put a tick mark in “Yes” or “No” column against the trait
checked for each employee.Once the checklist gets completed the rater forwards
the list to the HR department for the final evaluation of the employee.

Forced Choice Method: Under this method, the rater is forced to answer the
ready-made statements as given in the blocks of two or more, about the
employees in terms of true or false.Once he is done with the list, it is forwarded
to the HR department for the final assessment of the employee.

Forced Distribution Method: This method of performance appraisal is based on

the assumption that employee’s job performance conforms to the normal
distribution curve i.e. a bell shaped curve.Hence, the rater is compelled to put
employees on each point on the scale. It is seen that cluster of employees is
placed at the highest point on a rating scale.

Critical Incidents Method: Under this method, the critical behavior of each
employee that make a difference in the effective or non-effective performance is
recorded by the supervisor and is taken into consideration while evaluating his
performance.

Behaviorally Anchored Rating Scale: The descriptive statements about

employees’ behavior, both effective and ineffective are put on the scale points,
and the rater is asked to indicate which behavioral point describes the employee
behavior the best.

Field Review Method: Under this method, the performance evaluation of an

employee is done by someone who does not belong to his department or is
usually from the corporate office or the HR department.The outsider reviews the
performance of an employee through his records and holds interviews with the
assessee and his superiors.

Performance Tests and Observations: The test either written or oral is conducted
to test the knowledge and the skills of employees. Sometimes the employee is
asked to demonstrate his skills in the given situation and then he is evaluated
on that basis.
Confidential Reports: The confidential reports are mostly prepared by the
government departments, wherein the employee is evaluated on some of the
following parameters:

• Attendance
• Leadership
• Self-expression
• Ability to work with others
• Initiative
• Technical ability
• Integrity
• Responsibility, etc.

Essay Method: Under this method, the detailed description of the employee
performance is written by the rater. The performance of an employee, his
relations with other Co-workers, requirements of training and development
programs, strengths and weaknesses of the employee, etc. are some of the points
that are included in the essay.The efficiency of this traditional method of
performance appraisal depends on the writing skills of the rater.

Cost Accounting Method: In this method, the employee’s performance is evaluated in

monetary terms, i.e. how much cost company is incurring on keeping the employee and
how much he is contributing to the firm in terms of his output.

Modern Methods of Performance Appraisal

The Performance Appraisal is the assessment of the employee’s job performance

against the benchmark previously set for the categories such as output,
leadership, teamwork, versatility, supervision, etc.

Management by Objectives: This concept was given by Peter.F.Drucker,

according to him, the performance of an employee can be assessed on the basis of
the targets achieved by him as set by the management of an
organization.Firstly, the management sets the goals and communicate the same
to the employees, and then the performance of an employee is compared against
these set goals and is evaluated on this basis.

In case the employee is not able to achieve the pre-established goals, then
management decides on a new strategy or policy that should be undertaken for
the accomplishment of unattainable goals.
Psychological Appraisals: This is one of the most frequently used modern
methods of performance appraisal, wherein the psychologist assesses the
employee’s potential for the future performance rather than the past one. Under
this method, the psychologist conducts the in-depth interviews, psychological
tests, discussions with the supervisors and the reviews of other evaluations.

This assessment is done to determine the intellectual, emotional, motivational

and other related characteristics of an employee that is necessary to predict his
potential for the future performance.

Assessment Centres: The assessment center is the central location where the
managers come and perform the job exercises. Here the assessee is requested to
participate in in-basket exercises, role playing, discussions, computer
simulations, etc. Where they are evaluated in term of their persuasive ability,
communication skills, confidence, sensitivity to the feelings of others, mental
alertness, administrative ability, etc.

This entire exercise is done under the trainer who observes the employee
behavior and then discusses it with the rater who finally evaluates the
employee’s performance.

360-Degree Feedback: It is a feedback method wherein the details of an

employee’s performance is gathered from other stakeholders such as superiors,
peers, team members and self. In this method, the employee is asked about
himself, i.e. what he feels about his performance, and then accordingly he can
realize his strengths and weaknesses.

Also, the peers or team members are asked about assessee’s performance
through which the employee knows about what others feel about him and can
overcome his disbeliefs if any. Thus, this method is used to have a detailed
evaluation of an employee from all the perspectives.

720-Degree Feedback: This is an another feedback method, wherein the

assessment is done not only by the stakeholders within the company but also
from the groups outside the organization. These external groups who assesses
the employee’s performance are customers, investors, suppliers and other
financial institutions.

It is one of the most crucial modern methods of performance appraisal because

this is the only group that determines the success of the organization as a whole.
2.Explain the philosophy of Justin Time (JIT)
Just in Time (JIT) is a Japan grown management philosophy, which has been
applied in practice since the early 1970s. It has been widely implemented in both
supply and manufacturing industries as a survival strategy against global market
competition with remarkable success. JIT as a management philosophy, rather than
another production technique. It is a collection of concepts and techniques for
improving productivity. Monden Y. (1993) defines JIT as “producing the necessary
items, in the necessary quantity at the necessary time.” Here I would add the
necessary quality to have a complete definition. The primary objective of JIT is to
eliminate waste which Toyota President, Shoichiro Toyoda has referred to as “
anything other than the minimum amount of equipment, materials, parts, space,
and worker’s time, which are absolutely essential to add value to the product.” In
effect JIT attempts to minimize ordering costs and inventory holding costs and at
the same time produce high quality and variety of products to meet consumer taste
and demand with minimum delay possible.

The West with its own home grown traditional philosophy of mass production
characterized with narrowly skilled professionals to design products, semi-skilled
and unskilled workers to tender expensive, single-purpose machines, build- up
safety inventory to avoid stock outs and the use of Economic Order Quantity (EOQ)
concept, it has been rapidly adapting JIT in many of her industries. This global
adaptation, as it inevitably spreads beyond the auto industry, will change
everything in almost every industry, choice of customers, the nature of work, the
fortune of companies, and, ultimately the fate of nations.

Main issues and difficulties of managerial nature

Top Management Support. Given the fact that JIT covers a number of key
functional areas of the company, its success requires unwavering support of top
executives. This issue of full acceptance and commitment to change to the new
system by the top management is crucial. Many authors put this factor of top
management support as the most important in achieving both long-term and
complete implementation of JIT. It is required to empower middle management
overcome inevitable roadblocks in implementation (Hay E.J, 1988). They may not
have the time to sit back to think for the whole operation and the possible ways to
improve it, but merely to adapt to changes where they can and possible. Thus
without sufficient understanding of JIT philosophy, there will not be a strong
commitment from top management on the project and hence its implementation will
not reach its fullest completion.

Education and Training: The issue of training and education is crucial to an

introduction of any new system like JIT if it has to be implemented smoothly and
successfully. Every one at each level needs to understand what JIT is all about and
what kind of changes will take place as a result. The difficult here is the availability
of resources in terms of personnel who are well versed and able to stay with the
company to train others or at least the key staff. It is important to note that there
are not many professionals who are usually trained and experienced in new system
like JIT.. Yet their limited financial resources would make access to outside
consulting infeasible.

Resistance to change and strikes: Changing to JIT requires new orientation, multi-
skills, new attitude, increased responsibility and team- work. Those who cannot
change or feel threatened to lose their positions and jobs would naturally resist and
at worst organize strikes. It is therefore necessary to first sensitize and convince
workers and their unions that the JIT is in their best interest and that of the
survival of the company. The harmonious industrial relations, with management
and workers working together for the common good, we see today in Japan, was not
like that in the past. For example during the post Second World War period and
during the period Japan was implementing, the new Toyota production System, the
JIT, she had one of the worst strike records in the world. Thus low morale and more
importantly, frequent industrial disputes make the integrated JIT system very
vulnerable. Suppliers cannot guarantee on time delivery and hence the corporation
has to carry higher stock level to reduce the risk of unscheduled production
interruptions. High inventory results in higher costs of production.

Thorough Planning and starting with Pilot Project first: In order to avoid costly
mistakes and to minimize chances of failure and huge unnecessary looses, issues of
through planning and project piloting, so to speak, are of prime importance.
Difficulties with these, however, are limitation of time and resources.. This is not
only a painful difficult to small and medium companies, but also to large companies.
According to TaiichiOhno, the commonly accredited originator of JIT, it was not
until 1962, ten years after they first embarked on the introduction of Toyota new
production system, before they were able to institute Kanbans on a company wide
basis. Finch B. (1986) maintains that due to the small size of

Geographical difficulties: One of the factors, which have led to success of JIT in
Japan, has been geographic size and proximity of suppliers (Roos Lars Uno, 1992).
Suppliers in Japan are usually clustered around the major corporations, which
reduces logistic barriers and costs. This is in fact a characteristic of almost all-
Japanese industry due to the smallness of the nation.

Conclusion
Just in Time (JIT) is a Japanese invented competition survival production
philosophy aimed at reducing total production cost by minimizing waste and at the
same time continuously improving total product quality. JIT as an integrated
production and control system with interdependence of components has had a lot of
benefits to large manufacturing companies like Automobile and Electronics where it
was first developed and implemented. Its success in Japan has been partly due to
the unique culture, character, orientation and work ethic of Japanese work force on
one hand and workers centered management style, positive and cooperative
industrial relations, dependability and proximity of suppliers, geographical feature
and size on the other. The introduction and implementation of JIT in the rest of
western world despite the enthusiasm, has not been without difficulties. Unlike in
Japan, Industrial relations in United States, United Kingdom, Canada and
Australia to mention but a few, is dominated by adversarial relationship between
the major unions, state and employer making it difficult for employers to introduce
multi-skilling, job rotation practices and team work. Furthermore, unlike a
Japanese worker with a positive attitude to work, western workers generally do not
feel obligated to contribute to economic performance of an enterprise. They look at
labor negatively. This cultural differences pauses a lot of difficulties. The dispersion
of suppliers significantly increases logistics barriers and cost unlike Japanese
industries whose suppliers are in close proximity to respective factories they supply.
3.Explain Advertisement in print media and
electronic media
Advertisement in print media
Print media advertising is a form of advertising that uses physically printed media, such as
magazines and newspapers, to reach consumers, business customers and prospects.
Advertisers also use digital media, such as banner ads, mobile advertising, and advertising
in social media, to reach the same target audiences. The proliferation of digital media has
led to a decline in advertising expenditure in traditional print media, but print isn't dead.

Print media advertising is physically printed media including newspapers, magazines,

posters and billboards and direct mai

Newspapers and Weeklies

Advertisers can choose from a wide range of different types of newspapers, including local,
regional or national titles published in daily, evening, weekly or Sunday editions.
Newspapers target different readerships with a mix of content, often including sports,
entertainment, business, fashion and politics in addition to local, national or world news.
Advertisers can buy different sizes of advertising space, from small classified ads with text
only, to display ads featuring text, photographs, illustrations and graphics in sizes up to a
full page or even a double-page spread.

Consumer and Trade Magazines

Magazines offer advertisers extensive choices of readership and frequency. Consumer

magazines cover a wide range of interests, including sport, hobbies, fashion, health, current
affairs and local topics. Many business and trade magazines provide coverage of specific
industries, such as finance or electronics. Others cover cross-industry topics, such as
communications or human resources, while still others focus on job-specific areas, such as
publications for executives, marketing professionals or engineers. Publishing frequency is
typically weekly, monthly or quarterly. As with newspapers, advertisers can take
advertising spaces from classified ads to full page ads in black and white or color.
 Billboards and Posters

Advertising on billboards and posters gives advertisers the opportunity to reach

consumers on the move. Putting posters in retail malls, for example, helps advertisers
reach consumers close to the point of purchase. Posters or billboards in train stations,
airports or busy town centers have the potential to reach large groups of consumers.
Advertisers can change the messages on billboards and posters at a frequency of their
choice.

Direct Mail: Letters and Postcards

Advertisers use direct mail to reach smaller target audiences or selected prospects.
Direct mail often take the form of a letter, brochure or flyer sent via the postal service.
Advertisers can compile their own list of prospects and customers for the mailing, or rent
a mailing list from a specialist firm.

Print Media Selection

Print media advertising offers advertisers the opportunity to target different readerships,
with advertising costs based on circulation and nature of the readership. Advertisers and
their agencies compare the costs of reaching their target audience using circulation
figures and readership research from individual media or industry groups, such as the
Association of Magazine Media or the National Newspaper Association.

Advertisement in Electronic media

Electronic advertising is advertising that uses the Internet and other forms of digital
media to help a business promote and sell goods and services.

The purpose of using Electronic advertising is to reach a wider range of potential

customers by connecting with them over the web. It is also a lot more cost effective as
you can fund your advertising within the boundaries of your own budget. Another
luxury of Electronic advertising is ‘Target Marketing’. This means that you can target
 your desired group of customers based on a wide range of criteria such as age, location,
gender and religion

different types of Electronic advertising

Web banner advertising:

(A)Wallpaper advertising: This is one of the most popular types of advertising as it

changes the background of the website to the chosen promotion.
B) Pop up advertising: When clicking on a website it causes a new screen to open by
itself that advertises the product.
C) Floating advertising: A floating ad moves across the screen, giving the user the
option to click on it.

Ad Sense advertising:

This refers to companies that have paid major search engines, (such as Google) to
promote their businesses within the first three links that appear when a search is
entered.

the use of Electronic advertising impact on e-commerce marketing

One precaution that should be taken regarding Electronic Advertising is that if it is

done poorly it can severely damage the image of the company. Once something is
published on the Internet it is near impossible to remove it therefore extra care must be
taken to ensure that the advertisements are consistently monitored and controlled.