ADMAP Grp19 1st Submission

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    ADMAP QUERIESSOLUTIONS

    11/23/2012 ADMAP Group Submission by Group 19

    Group 19

    Abha AjmeraGitika SinghAbhishek SinghAtul MishraKushal JalanChandan Agarwal

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    ADMAP Queries SolutionsP R E S E N T E D B Y G R O U P 1 9

    In today's world which consists of fast-changing business contexts, where mergers and acquisitions

    take place frequently, there may be instances where we are required to take decisions without

    having complete knowledge of the administrative context i.e. systems and structures. How do we

    function as effective administrators in such a context?

    Context is composed of systems and processes. When we formed this query we were focusing on the

    absence of the systems and processes in taking a decision. While interacting with FMB participants, one

    of the most prominent queries they said was the lack of information which is so easily available for big

    MNCs these days. Often the organizations they are dealing with do not reveal complete information or

    present something extra added to what is the reality. The Satyam scandal also points out that system,

    structure or process can be deceptive sometimes.

    When we asked this query to Vasant Sir, he aptly replied that if we take decisions in the light of

    incomplete knowledge of the administrative context, then the accuracy of the decision will not be very

    high. Correctly so, even Organizational behavior emphasizes that for merger and acquisitions and

    other highly interactive business activities, organizational culture (of which context is very important

    part) is very important. Decision taken in less knowledge may lead to incompatibility, loss of goodwill

    and various kinds of loses.

    So the question is what we can do? Our group on contemplating these issues came with a solution of

    observing the Body language of the company. The crux of lecture by Vasant Sir was that context helps

    in decoding the body language of the company. They help in understanding the psychology of theorganization as well as how they are able to get things done.

    What our academic group suggest is how to understand the administrative context when the

    knowledge is not available. Decoding the context of the organization by observing it.

    Behavior and Performance

    The Christensen articles deals with the impact of structure, system and processes on the behavior and

    performance. In our guidance material regarding Vasant Sirs session we have been given the example

    of GE which gave stock options and its possible impact on the behavior of the employees. Then we also

    have TATA group and the contrasting leadership styles of JRD Tata and Ratan Tata. However if

    information regarding context is not available then we suggest a an action plan

    1) Why is the context not avail able?Suppose the organization claims itself to be very transparent and very honest and the details regarding

    the methodology of few non confidential processes are not available on request, or no one is ready to

    talk about then the question is what type of organization it is? We can deduce it is the organization is

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    either not very clear with its own context or they are trying to hide them.

    If the organization is transparent with the processes but they are not coherent with the results which they

    are giving then again it requires us to do further analysis, whether the context provided is right as in, do

    they actually follow those processes and adhere to structure or do they suffer from leakages which

    renders the structure and steps of procedure useless. By leakages we mean compliance to the

    procedures and systems. For example a company may set up strict rules against bribery, however if they

    do not keep enough provisions for protection of these rules then they might be of no value. For example

    every company under Tata Brand name distributes Tata code of conduct to its employees which lays

    down some basic rules for the organization irrespective of domain or industry.

    Now Tata Organization has to select few high ranking officials who have the responsibility of

    compliance of the code of conduct as well as making sure that the organization is transparent enough and

    it encourages the employees to report any malfunction regarding the code of conduct. Steps like these

    make the system and process transparent and even if the organization will not reveal its complete

    administrative context the other stakeholders will be assured of its values.

    2) What type of decision are we talking about?Another important factor which we realized was the type of decision we are taking. Suppose I am buying

    a packet of potato chips, now for that decision I do not need to know the financial statements of the

    company or its net income however if tomorrow that potato company gives me the proposal of starting a

    joint venture then the required level of contextual knowledge will be different. Further still if they

    propose to sell their organization to me the level required will be completely different. Hence it is

    important to know the type of decision we are taking. This level determines the amount of contextual

    knowledge that we require.

    So if the organization is not completely transparent but the information which is available is authentic

    and it is sufficiently high to take correct decision, then an administrator can take right decision.

    3) Roleof context specially in mergers and acquisitions and how can we be assuredIn our query of taking decisions we realized that mergers and acquisitions are one of the most important

    decisions where knowledge of systems and processes are very important. When the amalgamation is

    based on mutual consent then there is good chance that organizations will share the knowledge, however

    if a company is wants to be sure and administrator wants to be reassured of the correctness of the

    decision, he can form a alternative knowledge base of systems and processes through interaction withvarious stakeholders like employees, shareholders, vendors, public image as well as independent

    auditors associated with the company.

    These channels will provide him knowledge and he can form the administrative context. This can be

    compares to the system and processes which has been provided to them. The degree of coherence will

    form the basis of assurance and security. Low coherence can warn the administrator to do further

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    analysis or demand explanation or call off the deal.

    Knowledge of the administrative context is indispensible for taking correct decisions. However we do

    realize that seldom we get the ideal situation. So we suggest first measure the level of information which

    is required, talk to alternative channels, make your own deduction and compare with what is available.

    Alternative channels should be used and if situation demands then reverse analysis of results and

    behaviors can be used to determine the context.

    We categorize schools and colleges into educational institutions but these days they are getting

    commercialized so would calling them an institution be right or wrong?

    An organization is an entity that exists for a predefined purpose. In a business context an organization

    can be termed as an entity that functions through a collection of processes, systems and people for the

    purpose of generating revenues or money. In a social context an organization can be defined as an entity

    that exists for the purpose of adding value to the environment and society. Thus a business like Google

    and an NGO like CRY are both valid examples of an organization. This brings us to the next step. Whencan an organization be called an institution? Is this differentiation dependant on whether an organization

    generates money and is commercial? What attributes need to be present in an organization for it to be

    called an institution? Answering this question will help us understand whether schools, colleges and

    universities which serve the purpose of providing education to the students, as well as generating

    revenue and income for its stakeholders can be termed as institutes or organizations.

    All institutions may start of as organizations i.e. they may be entities set up to fulfill a particular purpose.

    Over a period of time however if the organizations adopt a value system that is a belief about the

    right/wrong way of doing things in order to meet its objectives then the organization is said to have

    transcended into being an institution. For example let us consider two cases

    Case A: A management college A is set up to provide business education to students

    Case B: A management college B is set up to provide business education to students. Additionally the

    founders believe that the right way to do that society needs ethical managers and hence the students must

    actively participate in social activities. They also believe that students need to learn by doing.

    In case A the college stakeholders will do whatever is necessary to provide MBA education to students

    i.e. they will do whatever is necessary to meet its goal and purpose and hence case A is an example of an

    organization. In case B the college stakeholders are willing to engage only in activities that will allow it

    to meet its goal while confirming to their beliefs and values. Thus case B is an example of an institution.

    In the given scenario let us assume there comes a time when it is observed that a management college is

    able to provide better placements to its students and thereby attract more students by offering to teach

    them how to find loopholes in the stock markets and gain large returns. College A will quickly adapt this

    strategy because it believes in operational efficiency and following processes that help it meet its

    primary objective. But college B will resist any attempts to engage in such activities because while this

    change could help boost its student numbers and thus help it fulfill its objectives, the activity is not in

    line with its value system. Additionally if college A can be easily shut down, it is expendable if the

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    purpose for which it was set up no longer exists. Nut college B is not expendable. It has a value system

    with which people relate to and thus all the stakeholders involved who believe in that value system will

    make the utmost efforts to keep the college alive.

    From this example we can see that organization transcend into being institutions by

    a. Having a value system or a set of beliefs that guides all its strategies and actionsb. Consistently following the value system while responding to external and internal stimuli.

    By doing these things an organization follows Selznicks process of institutionalization and develops a

    distinctive character for itself. We can test whether an organization has become an institution by the

    expendability test i.e. if the organization has developed character then it will not be expendable and

    cannot be shut down and discarded easily. Additionally as organizations transcend into being institutes

    they become less flexible. As seen in the example, college A will adapt to any activity that will help it

    meet its goals but college B has certain processes and certain values that guide its actions and will thus

    face resistance when faced with changes that challenge its values. Both College A and College B earn

    revenues, make money but college A is an organization whereas college B is an institution.

    Thus schools, colleges and universities cannot be simply classified as organization or institutions based

    on whether they are commercial i.e. concentrating of making more money. In order to understand

    whether an educational entity is an organization or institution we need to observe the policy decisions

    taken by the entity and detect if there is an underlying value system that is guiding their policies, actions

    and reactions. If such a value system is detected then the entity can be called an institution but if no such

    value system is detected then the entity can be called an organization.

    What according to you is an effective administrator's approach to working with people with

    different and sometimes conflicting management styles?

    Every individual is different and thus is it quite common to see managers having contrasting

    management styles in any organization. Therefore, it becomes important for an effective administrator to

    ensure that he takes a right approach to deal with people having different or conflicting management

    styles.

    First and foremost understands the environment in which the organization is working and what are the

    strengths and weaknesses of particular style. For instance both JRD Tata and Ratan Tata are successful

    but their way of working is totally different. What motivated this were the context and the variables. It is

    very important for the administrator to analyze the situation as well as the alternative solutions

    An effective administrator needs to have excellent communication and coordination skills. He should tryto communicate well. This will make his directives clear and also provides a certain sense of focus to

    other team members on what is the requirement. He should at the same time be organized so that he can

    coordinate efforts smoothly. Giving sufficient thought process to each style will help in determining

    what is best for a particular situation. His communication skills will come in handy when facing

    obstacles and organizing strategic approaches. He should strive to keep a clear head and calm demeanor

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    while delegating tasks and coordinating efforts.

    It is important to attract multiple and diverse opinions or ideas from key individuals before taking a

    particular decision. An effective administrator cannot afford to ignore the views of others and be tempted

    to stimulate the organization with only his own ideas. What his quality should be that among the various

    alternatives he should have the knack of selecting the choice which is more promising. A good example

    of this is the working of the ADMAP committees. Every individual in the committee has a different style

    of working and everyone has a different thought process. Thus, whenever a new agenda is discussed in

    the meeting, many divergent views or ideas are put forward. On many occasions the views are quite

    conflicting in nature and ensues heated discussions. But the faculty head of the committees as well as

    committee coordinators effectively manage the whole process by letting everyone put his/her thoughts in

    the meeting, facilitating qualitative discussions and reaching consensus on a particular agenda.

    An administrator should also possess the quality of selecting an alternative without offending others.

    That requires the art of explaining the thought process that went into taking the decision, the logic and

    importance of the decision with respect to context and at the same time possess effective listening skills.

    Body language gestures such as making eye contact to demonstrate that he is listening and he encouragesthe speaker to continue talking or elaborate on certain points.

    He should make his managers understand that the organization can consider only a certain number of

    proposals that emanate from the key people of the organization. As he goes on inviting and listening to

    the reactions, ideas and views of the key individuals and groups, he should to able to make a better

    assessment of what to accept and which management style to adopt.

    Administrators should practice emotional intelligence and should be able to deal with conflicts or other

    issues that may arise,. For instance, an administrator should try to convey a message to others without

    displaying any bias through control on his own emotional reactions and filter out any irrational thoughtsor inappropriate display of emotions. It is important for an effective administrator to stay calm and

    genial, especially in times of difficulty or conflict. This would help him in retaining the respect of those

    around him and also in leading by example.

    Conflicts are inevitable phenomena and are bound to crop up. Effective administrators should follow the

    following Conflict Management Styles, depending upon the circumstances, to resolve conflicts that may

    arise due to the clashing management styles:

    1. Collaborating - I win, you win: By seeking solutions that satisfy both the parties.2. Avoiding: Stay away from the issues over which the conflict is taking place.3. Competing : I win, you lose: Overpower opponents by forcing them to accept their solution to

    the conflict.

    4. Accommodating : I lose, you win5. Compromising : You bend, I bend: Seek a conflict solution in which both sides gain something

    As we already know availability of rich and diverse styles of management proves to be advantageous for

    an organization. An effective administrator should be able to leverage this rich resource. He should

    identify and understand the different management skills people have in his organization and then try to

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    match these skills to the different tasks or responsibilities.

    We would like to share an example about how the Managing director of the organization, in which one

    of our group mates worked, used to designate the task based on the management styles of the employees.

    It was a management consultancy firm and projects ranged from productivity improvement to process

    streamlining, training to system development for clients. Each project was undertaken by a team of

    consultants and every team was headed by a senior consultant. The company had 4 senior consultants

    and every one of them had a different style of managing the team and the project. One of the senior

    consultants always emphasized on numbers and meeting the target output- for example, increasing the

    productivity to a certain level. Another senior consultant emphasized both on the qualitative as well as

    quantitative output of the team. The Managing director always tried to map the right senior consultant

    with the right project. For instance, all the productivity improvement projects were usually allotted to the

    former and training or system development and implementation projects to the latter one. There were

    rarely any projects in which both the senior consultants worked together.

    Thus the managing director effectively designated the tasks and ensured that there is proper mapping

    between senior consultants and projects and that less of conflicts or frictions arose.