Name: Darpan Choudhary

Roll no. PGPGC202100112

Section: B
Managers : We are Katti with you
Following are my three key learnings from the case study discussion in class.
Organisational transformation
The company was able to achieve an employee-employer equilibrium state in its functioning
during the initial years. The policy adopted during the time was the stakeholder theory of
organizational management detailed by Edward Freeman, which states that all constituents of a
business, i.e., Government, society, and the company itself, are equally important, and the
decisions should look for the best for all these stakeholders. Their vision was evident in
Precision Parts Limited's HR policies, wherein they instituted the worker's union fairly early,
met with union leaders twice a year to address concerns, and monthly with the HR manager.
The shift started after 20 years when the company turned to a low-cost and high-quality model.
Inherently, they wanted to stay competitive in the face of global exposure brought on by the end
of license raj. Thus economic factors were also responsible for the shift in the company's vision,
which started focusing on the shareholders. There was a conflict of interest arising since workers
want to raise their pay scale and at the same time the company wants to reduce the bottom line
resulting in higher profits for the shareholders. The conflict was supposed to be resolved
through regular negotiations between the top management and the union. Still, the optics of the
deals offered by the company were not appealing for the workers, ultimately leading to a
massive divide within the organization.
Employee-Relationship Management
Between the three players, company, unions, and state, the factors in play are:
● Economy
● Technology
● Power Balance
● Ideology
The interaction of these forces and players results in the formation of work rules. This process is
called employee relationship management. The activity involves maintaining the relationship to
foster a productive and fair environment. PPL was not able to maintain the relationship and
introduced work changes that were not pleasing for the workers. The workers were as they
speculated from the departure of several people from the company and the changing rules that
their job security might be hanging by a thread. The situation ended up being escalated beyond
the point of return and eventually the mutual trust was lost. The productivity also plummeted as
workers vouched to only do the bare minimum.
Tackling conflicts
There are primarily three ways to combat conflicts in the organisation
● Unitary
● Pluralism
● Radical
Without delving deep into the concepts, these three forms of conflict combating approach can be
seen in various firms. Unitary method is concerned with suppressing any voices that raise
concern and essentially follows the rule to not let the conflict arise. Pluralism follows the idea
that conflicts are important for growth and all opinions are welcomed. Finally, Radical deals
with the proposition that the power is vested within the workers. Rules of the organisation are
created by the workers and follow the marxist ideology.