NIKHIL KUMAR

Assignment
MB 0038

SMU

Question 1:
A. A vision statement is a formal statement of what a business wants
to be. According to Collins and Porras, a vision statement should
have four parts. What are those four parts?
B. Differentiate between process and tasks.

Answer:

A. Collins and Porras state that the vision statement should have four parts,
they are described below:
Core Values: are the things close to your heart and these are the things that we
would not let go off no matter what the circumstances. We should have 4 to 5
such values.
Core Purposes: is the purpose of the organization. The purpose defines the
operation of the organization and this lies within the boundaries of our core
values. When in doubt the core purpose along with the values helps us make
decisive moves.
Big Hairy Audacious Goal or BHAG: is a goal that gives us a picture of the
purpose. This shows the down the line picture of the organization. For example
an IT firm would aim to be the Only Firm in IT Consulting in 15 Years.
Vivid Description: indicates that the vision statement should be easily
comprehendible and appealing to the stakeholders of the organization.

B. The difference in process and task is described below:

Process: is a set of rules that correspond to activities which in turn results into
some interim or final output. For example designing the chassis, building the
chassis, making the spare parts, attaching them to the chassis, fitting and
painting results into a CAR. Similarly in a at the business level various such
processes come into play. Planning, organizing, staffing, leading, controlling
being a few of them. We call these the management processes.
Tasks: are the most basic unit of an organization. In the above example
designing is a task, making a spare part such as a door, fitting a tire are all
tasks. The tasks combined converge into the execution of a process. For the
execution of the vision of an organization the processes and task go hand in
hand.

Question 2:
Planning is called as the cornerstone of management. Define planning and
describe the importance of planning. Explain the types of planning.

Answer:
Planning is a basic management function which involves the realization of the
purpose of the organization and also allocation of resources to achieve this purpose
and optimal usage of the existing resources. Planning implies to goal setting
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NIKHIL KUMAR
Assignment
MB 0038

SMU

considering all the hurdles and opportunities and threats. The goal is the final state
at which the company wants to be at and planning is the mechanism to get there.

Planning is a prerequisite to any business and is most essential because:

It helps the management to focus on things needed
It provides a roadmap of the destination
It gives a comparison of the existing model and also improvements that can
be made against it.
It acts a shelter against mistakes as previous ones can be avoided.
It forecasts the future yet to come and provides a clear vision of what is yet
to come.
Planning types is described below:
Planning based on Level:
They cover long term objectives various business and directions to achieve this.
They are future plans and include functional plans.
Planning based on Importance:
This plan involves the achievement of a vision, they deal with strategies and
operations. They are all necessary for the company to survive.
Planning based on Approach:
These plans are either proactive or reactive. The deal with decisions and their
consequences. Cetain action have to be perform upon certain events
Planning based on Processes:
There are plans based on processes called as formal plans and some without a
process called an informal plan.
Long term and Short Term Plans:
These pertain to various other plans that are formulated to the business needs both
in the short term and the long term.

Question 3:
What is meant by span of control? Differentiate between narrow span of
control and wide span of control. What are the factors that influence the
span of control?

Answer:
Span of control is defined as the number of employees that function under one head
after which the number of heads that function under a superior head. Span of
control is of two types narrow and wide.

NIKHIL KUMAR
Assignment
MB 0038

SMU

Narrow span of control has limited number of people under one lead and limited
number of leads under one manager and so on. Wide span of control has a large
number of people under one lead controlled by a process director and so on. The
difference is that in narrow span we have a highly controlled structure but with less
cost effectiveness and a lot of gap between the top and the bottom and in wide
span we need to have high quality managers that can control this structure there by
increasing the risk of collapse but also has a policy based operation.
The factors that influence span of control are:
Training is essential in wide span where as it is adjustable in narrow span.
Tasks need to be defined and delegated clearly in wide span and it needs less
involvement in narrow span.
Verifiable objectives are needed in wide span and not in narrow span.
Task is simple can be viable for wide and tedious in narrow.
Number of specialists of many and at the top then wide is preferable and in
many in the bottom the narrow span.
Speed of change is more adaptable in narrow when compared to wide.
If subordinates are ready to face things to come then wide is preferred.
Wide span needs more planning and interaction compared to narrow.
Highly competent managers can handle wide span.

Question 4:
Define Organizational behavior. What are the various approaches to
Organizational behavior?

Answer:
Organization behavior or OB is the term that explain the role of behavior in an
organization. It is a study and the application of this knowledge into how individuals
and groups act in organizations. It assumes that organizations are made up of
people and decisions are to made keeping in mind the relationships of these people
among each other and relationships of the groups they comprise of with each other.
Approaches of Organizational Behavior:
Human Recourses Approach:
The human resources approach states that the people are the central resource of
any organization. This is also considered as a supportive approach because the
managers primary role changes from a controller to a promoter. The synergy and
team sprit plays a very important role in productivity and growth. Here leadership
and leading processes are very vital.
Contingency Approach:
The contingency approach states that different situations require different
behavioral practices. Each situation has to be studied and analyzed to determine
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NIKHIL KUMAR
Assignment
MB 0038

SMU

the best solution. This in turn helps use all the current knowledge of the people and
is applied in the most appropriate manner.
Productivity Approach:
The productivity approach states that each input returns an output. Implying that
the resources and their application will directly impact in a proportional manner.
Systems Approach:
The systems approach states that people employ technology in performing the task
assigned and the structure of the organization serves as a basis for coordination.
The systems approach points out the independence of these three elements. This
also looks at the organization from a broader perspective and widens the gaze
towards social, cultural and political values making the company a multifaceted
organization.

Question 5:
Perception is the way we see and interpret things. Explain the importance
of such perception. What are the factors affecting perception?

Answer:
Perception is the process in which the people in an organization analyze and
comprehend their sensory impressions in order to give meaning to their
environment, the environment which consist of the other people and situations
connected to the said perceiver. The importance of perception is mentioned below:
The vision of the company must be made keeping the perception of the
future in mind.
The creation of a strategy depends on how the opportunities and setbacks
are perceived.
Perception affects planning as the employees perception of the goals decides
on whether they can be achieved.
Perception also affects organizing as we tend to perceive our competence
and business needs and make decisions accordingly.
Reasons for workplace conflicts and stress is also because of differences in
perception and biased perceptions.
There are various factors that affect perception and can be broadly classified into
three areas:
Perceiver related factors:
Peoples attitude, motives, interests, experiences and expectations gives
various perceptions:
Attitudes and motives:
Attitudes are evaluative statements of objects, people and situations of
a particular person. There vary from person to person and his
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NIKHIL KUMAR
Assignment
MB 0038

SMU

evaluation of the said area decides his perception of it. Motive on the
other hand is the strong drive to take an action. Motive also has a key
role in deciding the persons perspectives.
Interests:
Interest of the inclination of a person, this inclination decides how the
said object will be perceived by him.
Experiences:
Experiences are memories and situations that we learn from. The
person will rely on such lessons to make future and decisions and to
perceive any object, person or situation.
Expectations:
Expectations are material or immaterial objects that a person receives
in return for his actions. When a person expects to get something in
return his perception changes and the expectation drives him towards
or away from the area.
Self-concept and Mood:
Self-concept is a picture of ones self of himself and this mindset
decides on how he perceives something from a 3 rd person view. Mood is
the state of mind at which the person is at and this alters the way he
looks at things and hence how he perceives.
Cognitive structure:
Cognitive thinking is the individuals pattern of thing. This pattern
hence decides on how the person perceives the objects, people and
situations.
Target related factors:
These are the factors that correspond to the opposite party of the perceiver.
For example if the employees perspective is looked at the target world be
the client or the manager and the way the client or manager behaves or acts
alter the employees perception to a great extent.
Situation related factors:
The time, work place setting, nature of work, social setting and various other
external factors also influence perception.

Question 6:
Give the definition and importance of motivation. Describe Maslows
hierarchy of needs theory.

Answer:
Motivation is the process that influences an individuals intensity, direction, and
persistence of effort toward attaining a goal. Motivated individuals stay with a task
long enough to achieve their goal.
Motivation is key factor in the performance of and individual and the company
because:
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NIKHIL KUMAR
Assignment
MB 0038

SMU

Motivation leads to an optimistic and challenging attitude at work place.

The more motivated the employees are, the more empowered the team is.
The more is the team work and individual employee contribution, more
profitable and successful is the business.
During period of change, there is more adaptability and creativity.
Puts human resources into action and enables organizations to coordinate its
physical and financial resources to achieve its goals.
Improves efficiency by increasing productivity and decreasing cost.
It creates a co-operative work environment where high degree of coordination
is achieved and reduces the cost of controls.
It makes them goal oriented and therefore makes them capable of delivering
even in the absence of close supervision. Which in turn leads to stability of
work force.

Maslows theory of motivation states that human beings desires influence their
behavior . these desires or needs follow an order of priority i.e. hierarchy and when
a lower level need is satisfied he will be motivated to fulfill a higher level need. He
proposed the following five hierarchies:
Physiological Needs:
Are basic human needs for survival such as hunger, thirst, shelter, sex, and
other bodily needs. So if the workplace does not fulfill these, an individual will
not be motivated. If he gets these, he will need the next hierarchy.
Safety Needs:
Are needs pertaining to security and protection from physical and emotional
harm. After physiological needs he looks for a safer working place.
Social Needs:
Are needs related to affection, belongingness, acceptance, and friendship in
the workplace and if he gets this, he will be happy to work hard.
Esteem Needs:
Are internal esteem factors, such as, self-respect, autonomy, and
achievement; and external esteem factors, such as status, recognition, and
attention.
Self-Actualization:
Is the drive to become what one is capable of becoming which includes
growth, achieving ones potential, and self-fulfillment.