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Posted By: bharath sudar Member Level: Platinum Posted Date: 02 Jun 2008
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2007 Indira Gandhi National Open University (IGNOU) Post Graduate Diploma HR Management Managing Change in Organisations Question paper
SECTION A
1. Explain the factors that influence organisational culture.
Describe some cross-cultural issues and how to bring
change in such organisations, with an example.
2. Discuss some of the reasons for the process of change.
Illustrate with reference to an organisation where one of
the processes was used and was successful.
3. What is intervention ? Describe any two interuentions
which help in bringing about change in organisations. Give
examples.
4. Describe different sources of resistance to change and
discuss the methods of handling resistance to change, with
few examples.
5. Write short notes on any three of the following :
(i) Role of HRD in managing change
(ii) Turnaround Management
(iii) Strategies of evaluation of organisational change
(iv) Inverted Pyramid
(v) Managing Transition
SECTION B
6. Read the following case carefully and answer the questions
given at the end :
Margadarsi Savings Association
Margadarsi Savings Association is one of the oldest
financial institutions in its region. It is located in a trade
area of approxirnately 25 lakhs population and has total
deposits approaching Rs. 50 crores. The association's
rnanagement has always attempted to develop and
maintain a progressive institution.
An outstanding feature of the association is that it
seldom loses an emplo yee to another financial instifution.
Checks made periodically with other institutions always
indicate that its salary scale is one of the highest in the
area. The association also has what the management
considers to be a good program of fringe benefits,
including hospitalization and life insurance, a retirement
plan, paid vacations,
'sick
leave, and lunchrroom
concessions. The entire cost of these benefits is borne by
the association.
The association runs its operations on a decentralized
basis. The top management has always maintained that
decentralization is the best method of developing qualified
rnanagers and, in view of the organization's rapid groMh
during the last few years, the best way of solving the
important problem of executive development.
The book-keeping function has likewise been
decentralized; each branch keeps its own books and the
auditor of the association periodically inspects them.
One day the auditor and the controller of the
association decided that the current book-keeping system
needed to be revised. They had been giving attention to
this area because the examiners had trouble finding
records. It had been suggested that the method of
book-keeping between the home office and the four
branches could be imProved.
With the above facts in mind, the two men held a
confer ence with the officers of the association, irl an
attempt to point out to them the action that needed to
be taken.
After l-rearing the arguments posed by the auditor and
the controller, the officers still felt the action was
unnecessary. They said that the project would be too
time-consuming and costlY.
Two weeks later, how ever, the executive vice
president of the association talked to the controller and
admitted to him that the idea of revising the system was
sound and that he and the rest of the officers were
authorizing,hirn to take control and to initiate the project.
The controller started on the task of centralizing the
bqok-keeping operations. For the first week 'he, rdidn't
know where to :begin. He discovered that operational
controls had been allowed to run down so long ,that now
his problem appeared to be almost insurmountable.
When the executive vice president asked the
controller about his progress he was given a negative
answer. The vice president was disturbed with this
reaction and .was determined to settle the' problem once
and for all. He called an executive meeting that included
the controller and the auditor. At the meeting, the
possibility of centralizing some of the operatians of the
branches in order to afford better administrative control
was discussed. Someone suggested the possibility of
buying some National Cash Register posting machines to
help solve sorne of the operating difficulties.
After a lengthy discussion it was decided that these
machines were the key to the eliminatioir of many of the
association's reporting problems. The controller admitted
that they would' make it easier to control operations, and
the assistant vice president felt that their acquisition would
add greatly to the customer service capacities of the
association
Three new machines were installed the following
month. After closing hours each teller was instructed in
the proper techniques of operating them. The
management felt that they had made a sound investment,
and their only worry was over the ability of the tellers to
learn how to operate the new equipment. Most of the
tellers were older women and seemed to be slow and
reticent to learn the new process.
one month after the practice machines had been
placed in the association, these shortcomings became so
acute that immediate action had to be taken. The
management realized that the morale of the teller staff
was depressed and that the smoothness of operations at
the home office had been compl etely disrupted. The
personnel manager suggested that some type of formal
training program should be developed and that the
management should explain to the members of the
workfo rce their personal roles in the anticipated progress
of the association.
The personnel manager has not found a method of
eliminating the discontent, nor has he been able to give
an adequ ate reason for it to the rest of the officers.
Finally one officer stated in a comm ittee meeting that he
felt the workforce had been "over human-relationed". He
suggested that in many instances negative leadership was
far superior to positive leadership. He stated in forceful
language that he would inform those tellers who were.
complaining and failing to learn the process either to
learn it quickly or be fired. Another officer felt that since
some of them were employees who had been with the
association for many years and whose work had always
been satisfactory, some alternative must be found.
Quesfions :
(a) What werethe main probl*, requiring change ?
(b) Why did the introduction of the new machines create
problems ?
(c) What are the reasons for resistance to change ?
(d) How might this change have been better managed ?
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