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Posted By: aravindsri Member Level: Gold Posted Date: 02 Jun 2008
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2005 Indira Gandhi National Open University (IGNOU) M.B.A IGNOU MS10 Organisational Design, Development and Change June 2005 Question paper
IGNOU MS10 Organisational Design, Development and Change June 2005
MANAGEMENT PROGRAMME Term-End Examination
June, 2005
MS10 : ORGANISATIONAL DESIGN, DEVELOPMENT AND CHANGE
Time: 3 hours Maximum Marks: 100 (Weightage 70%) Note : (i) There are two Sections A and B. (ii) Section A has two sets : Set I is meant for the students who have registered for MS-10 prior to July, 2004, i.e., upto January, 2004 Set II is meant for the students who have registered for MS-10 for July, 2004 semester onwards. (iii) Attempt any four questions from Section A. All questions carry 15 marks each. (iv) Section B is compulsory for all and carries 40 marks
SECTION A
Set I
(Pre-Revised)
1. Discuss the reasons for creation of different types of organisational structures, along with their merits and demerits.
2. Describe some emerging principles of work organizations. Discuss how socio-technical approach to work design is an improvement over the traditional approaches.
3. Discuss how a questionnaire can be an important tool for organisational diagnosis ? Explain the necessary characteristics of a questionnaire to be an effective technique.
4. Define OD. Discuss some of the models of OD and their relevance to organizations.
5. Write short notes on any three of the following : (i) Management by Objectives (ii) Quality of work life (iii) Change approaches (iv) Institution building (v) Product vs. Functional form
SECTION A
Set II
(Revised)
1. What are the pre-requisites of a good Organisational Design ? Discuss the limitations which affect Organizational Design, in detail.
2. Discuss the role and competency of a change agent. Discuss with a suitable example.
3. Describe the organisational restructuring strategies and discuss the new perspective on organisation design.
4. Describe the importance of interview as a diagnostic tool and discuss different types of interviews and their advantages and limitations.
5. Write short notes on any three of the following : (i) Quality of work life (ii) Contemporary approaches to Job design (iii) Resistance to change (iv) Phases of planned change (v) T-group training
SECTION B
6. Read ihe following case carefully and answer the questions given at the end :
In 1995 Ford Motor Company announced a major reorganization called "Ford 2000". The idea, championed by Chairman and CEO, Alex Trotman and Vice Chairman Edward E. Hagenlacker, eliminated more than a dozen engineering design centres around the world and consolidated them into only five - of which four are in Dearborn, Michigan, and one in Europe. The one in Europe was responsible for creating one basic design for small cars for the world market and then making minor modifications for local markets. For example, the same template will be used in Europe, South America, and Asia. The four design centres in Dearborn will do the same for large front-wheel-drive cars, rear-wheel-drive cars, pick-up trucks, and commercial vehicles. The consolidation effort requires that more than twenty-five thousand salaried employees relocate or at least report to new managers. Manufacturing and assembly will still take place in plants around the world.
The purpose is to integrate Ford's operations around the world and revolutionise the way it designs and builds more than seventy lines of cars and trucks, which it sells in more than two hundred markets. The goals are reduced duplication of effort, increase volume purchasing, save more than $4 billion per year, and double profitability. All this for a company that made $3.8 billion profit from automotive operations in 1995, and $5.3 billion overall. Trotman continues to have the support of the Ford family, two still controls 40 percent of the voting stock in the company.
Part of the new plan is a top-secret strategic document that outlines every new car and truck Ford will design, produce, and sell around the world through 2003. The plan calls for reducing the basic design platforms from 24 to 16 and increasing the total number of models by 50 percent, while saving billions of dollars, For example, the new 1996 Taurus serves as the platform for several other models, both in the United States and around the world.
In structure, the new system is really a matrix. Rather than working in a functional organization with traditional hierarchies and centralized decision making, employees are assigned to a design centre, such as small cars, and then to a group according to their specialities, such as drive trains. Managers then mediate the disputes that occur between the design centres and the specialities. Employees will have to change their ways of doing their work as they design cars and trucks to fit global markets rather than a single, relatively homogeneous one. Management knows that employees feel a great deal of insecurity and uncertainity about the company and their jobs as they make the shift. Carrying the message to all employees has been a constant Job for Trotman and Hagenlacker since the original announcement.
Management also knows that Ford tried a similar design integration with their "World Car" in the late 1970s, which failed primarily due to turf battles among designers and engineenrs. The cars that resulted were rarely the cost savers Ford hoped for and were so dull in their design that no one bought them. Trotman expects different results this time because of the consolidation of the design centres, the new organisation structure, and because advances in technology have made the inner working of cars so similar that only the outer, visible portions of the cars need to be different to satisfy regional tastes.
By mid-1996, however, the reorganisation was not going so well. The transition had left many employees still wondering whom they worked for and with a feeling that everything was out of control. The culprit seems to have been a reorganization of the reorganisation ! Trotman now plans to reduce the number of design centres from five to three. People are moving and reporting relationships are changing once again. Group Vice President Jacques A. Nasser, who may succeed Trotman by 1998 or so, has promised $11 billion in savings under the new system. Some have claimed that the "new" reorganisation really puts things back the way they were before the first reorganisation. However, three design centres is a lot fewer than the dozens that existed before. But this second reorganisation, before employees really got settled into the first one, may have devastating effects. Suppliers and employees do not know whom to contact to get questions answered or disputes resolved. All they get on the phone is voice mail, since everyone is in meetings trying to work out the new reorganisation. Top management claims that these problems are inherent trying to turn aroundd such a big organisation that has been relatively successful through the years. They say that the organisation needs to evolve to meet their ambitious goals and the competition.
Questions:
(a) Describe the changes in structure that Ford expects from the Ford 2000.
(b) How do you explain the continuing problem that employees are having with adapting to the new structure of Ford 2000 ?
(c) Is a matrix structure the proper structure for Ford 2000 ?
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