M.B.A. DEGREE EXAMINATION, NOVEMBER/DECEMBER 2016. Elective BA 7033 — ORGANIZATIONAL THEORY, DESIGN AND DEVELOPMENT (Regulations 2013) ‘Time : Three hours : Maximum : 100 marks = 2,7? 3-2. 2s ll. (Codes/Tables/Charts to be permitted, if any, may be indicated) Answer ALL questions. : PART A — (10 x 2= 20 marks) What is value creation in organization? How to measure the organizational effectiveness? Define the decentralisation in organizational context. Namo the various typos of organizational design. Define organizational culture. Differentiate between strong and weak culture. What are the various HR practices for organisational change? Define change management. Explain the organizational life cycle. What is intrapreneurship? PART B— (6 x 13 = 65 marks) (a) Describe the organization, its need for existence and effectiveness. 4 Or (b) Explain the various approaches to measure the organizational effectiveness.of organizational design with proper TMlustrate the importance of organizational design and its implications for manager. Describe the various types of organizational culture. Also, state the importance for creation of sustainable culture. Or (b) How culture and strategy are related? Explain its significance for managers. (@) Discuss about the organizational change: its force, resistance, types and implications, Or (b) Explain the importance of strategic change management for practicing managers. (@) Describe the organizational learning process and outcomes with examples, Or (b) Evaluate the different models of organizational decision making process. PART C — (1 x 16= 15 marks) Case Study. (a) Wild Wear makes clothing, rain gear, and sleeping bags for hikers and other outdoor enthusiasts; The company began when Myrtle Kelly began sewing pile jackets that her husband Ray sold on college campuses, It now employs almost five hundred people organized into traditional divisions such as marketing, manufacturing, and research and development. Recently it became apparent that although Wild Wear's balance sheet appeared healthy, the company was stagnant. Everyone seemed to work hard, and the company’s products seldom flopped. Yet Wild Wear seemed to have developed a “me too” posture, bringing new products to market a season or a full year after competitors. The Kellys, who still run the company, pored over performance appraisals looking for the weak points that might be holding the company back. But it seemed that the human resources department had been doing its work. R and D was coming up with a respectable number of new products, the manufacturing facility was modern and efficient, and the marketing tactics often won praise from customers. Baffled, the Kellys called a meeting of middle-level managers, hoping they could provide some answers they had missed. They were shocked when they noticed that the managers were introducing themselves as they came in and sat down. People who had been working in the same company for years had never 2 15015® ‘even met! The meeting began with this obsorvation, and for ni minutes the Kellys sat back and listened to the problems their manigae raised. It became clear that in the attempt to grow from a family operation into a larger company, the Kellys had assumed the two needed to be very different. When they started out, the two of them handled all aspects of the business. Ray would hear from a customer that backpackers really needed a certain product, He would pass the idea on to Myrtle and order the materials she needed, and within a few weeks he would offer the product to the delighted customer. As the company grew, the Kellys began to worry about their lack of formal business training and hired professionals to run each division and set up appropriate rules and procedures. What they had created, the middle managers informed them, was a number of very efficient, productive divisions that might as well have been separate companies. The R and D people might come up with a new breathable fabric for rain gear, only to find that production had just begun making a new rainwear line out of the old fabric and that marketing was turning all its attention to selling the big inventory of sleeping bags. Each division did the best it could with the information it had, but that information was very incomplete, Products p linearly from one division to the next, but it always seemed as though an idea that had been ahead of its time did not yield a product until the time had passed. To remedy the problem, the Kellys decided to call in a management consultant to create more of a matrix structure for Wild Wear. While they were waiting for the consultant's solutions, they began holding weekly “horizon” meetings. The group of middle managers would get together every Monday and discuss what they saw on their horizon. After less than a month of such meetings, the excitement generated promised better things for Wild Wear as the managers stretched to expand their own horizons and to help others bring their ideas to light. Case Questions : () What would be the ideal organizational design for a company like Wild Wear? : (ii) What does Wild Wear's experience say about the need for periodic corporate restructuring? Or In ten years, Plant World had grown from a one-person venture into the largest nursery-and landscaping business in its area. Its founder, Myta Ong, combined a lifelong interest in plants with a botany degree to provide a unique customer service. Ong had managed the company’s growth so that even with twenty full-time employees working in six to eight crows, the organization culture was still as open, friendly, and personal as it had boon when her only “employees” wore friends who would volunteer to help her move a heavy tree. To maintain that atmosphere, Ong involved herself increasingly with people and less with plante as the company grew. With hundrads of customore and scores of jobs at any one time, #he could no longer say without hesitation whether ‘she had a dozen arborvitae bushes in stock or when Mrs. Carnack’s 3 15015estate would need a new load of bark mulch. But she know when Rose had been up all night with her baby, when Gary was likely to be late because he had driven to see his sick father over the weekend, and how to deal with Ellen when she was depressed because of her boyfriend's behavior. She kept track of the birthdays of every employee and even those of their children. She was up every morning by five-thirty arranging schedules so that John could get his son out of daycare at four O'clock and Martina could be back in town for her afternoon high school equivalency classes. Paying all this attention to employees may have led Ong to make a single bad business decision that almost destroyed the company. She provided extensive landscaping to a new mall on credit, and when the mall never opened and its owners went bankrupt, Plant World found itself in deep trouble. The company had virtually no cash and had to pay off the bills for the mall plants, most of which were not even salvageable One Friday, Ong called a meeting with her employees and leveled with them : either they would not get paid for a month or Plant World would fold. The news hit the employees hard. Many counted on the Friday paycheck to buy groceries for the week. The local unemployment rate was low, however, and they knew they could find other jobs. But as they looked around, they wondered whether they could ever find this kind of job. Sure, the pay was not the greatest, but the tears in the eyes of some workers were not over pay or personal hardship; they were for Ong, her dream, and her difficulties They never thought of her as the boss or called her anything but “Myta”. And leaving the group would not be just a matter of saying good:bye to fellow employees. If Bernice left, the company softball team would lose its best pitcher, and the Sunday game was the height of everyone's week. Where else would they find people who spent much of the weekend working on the best puns with which to assail one another on Monday morning? At how many offices would everyone show up twenty minutes before starting time just to catch up with friends on other crews? What other boss would really understand when you, simply said, “I don’t have a doctor's appointment, I just need the afternoon off"? Ong gave her employees the weekend to _ think over their decision: whether to take their pay and look for another job or to dig into their savings and go on working. Knowing it would be hard for them to quit, she told them they did not have to face her on Monday; if they did not show up, she would send them their checks. But when she arrived at seven-forty Monday morning, she found the entire group already there; ready to work even harder to pull the company through. They were even trying to top one another with puns about being “mall contents.” Case Questions : () How would you describe the organization culture at Plant World? (i) How large can such a company get before it needs to change its culture and structure? 4 15015