Intro to hrm

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Intro to hrm

  1. 1. Fo rI BS U se O nl y Cl as s of 20 1 0 Introduction to Human Resource Management ICFAI Center for Management Research Road # 3, Banjara Hills, Hyderabad 500 034
  2. 2.  ICMR March 2004. All rights reserved. Fo rI BS U se O nl y Cl as s of 20 1 0 No part of this publication may be reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted in any form or by any means – electronic, mechanical, photocopying or otherwise – without prior permission in writing from ICFAI Center for Management Research. Ref. No. IHRMWB – 032K4 09 For any clarification regarding this book, the students may please write to ICMR giving the above reference number, and page number. While every possible care has been taken in typesetting and printing this book, ICMR welcomes suggestions from students for improvement in future editions. Please use the Courseware Feedback Form available at www.icmrindia.org
  3. 3. Contents Part A – Multiple Choice Questions 3 31 0 Part B – Caselets 141 of 20 1 Part C – Applied Theory 243 Fo rI BS U se O nl y Cl as s Part D – Model Question Papers
  4. 4. nl y Cl as s of 20 1 0 Part A: Multiple Choice Questions Fo rI BS U se O This section consists of multiple-choice questions that test the student’s understanding of the basic concepts discussed in the textbook. Answering these questions will help students quickly recollect the theories they’ve learnt and apply these to real-life business situations.
  5. 5. Part A: Multiple Choice Questions 3. a. b. c. d. Who was the pioneer of Hawthorne studies? Fredrick Taylor Elton Mayo Fred Luthans Henry Mintzberg An HR manager in a large multinational firm is involved in establishing an intentional structure of roles for people and assigning responsibilities. What is the managerial function that the HR manager is performing? Organizing Staffing Directing Controlling Fo rI BS U 4. a. b. c. d. 5. a. b. Selection Placement 6. What is the process of training and developing employees to improve and update their knowledge and skills so as to perform their jobs better known as? a. b. c. d. Employment Human resource development Managing employee relations Compensation management 7. A control technique that helps in measuring the cost and value of people for an organization and helps management to value its human resources is a. b. c. d. Human resource accounting Employee control systems Organizational control systems Value based accounting 8. The specialist role of a HR manager takes a number of roles. Of these roles, which role ensures that all members of the management perform their respective roles concerned with effective use of human resources? a. b. c. d. The facilitator The consultant The executive The auditor 9. An organization provides employees benefits in the form of conveyance facilities, housing facilities and educational facilities for children. What kind of benefits is the organization providing to the employees? a. b. c. d. Incentives Bonus Fringe benefits Security benefits of 20 1 0 c. d. Cl as s a. b. c. d. The concept of 'economic man' led Taylor to propose a system where workers get a higher rate of pay for every unit of output that exceeds the daily output. What is this system termed as? Differential piece-rate system Differential price-rate system Similar piece-rate system Similar price-rate system nl y 2. O a. b. c. d. The development function of human resources has three dimensions. Which of the following does not fall under the development function of human resources? Employee training Management development Career development Identifying ways to motivate employees se 1. __________ is the process by which the knowledge of an employee, his skills, abilities and motives to perform a job must match the requirements of the job? Recruitment Job analysis
  6. 6. Introduction to Human Resource Management (i), (ii) and (iii) (ii), (iii) and (iv) (i), (ii), (iii) and (iv) (i), (ii) and (iv) O nl y 11. The HR manager of a manufacturing firm was given the task of providing information on market statistics of personnel availability, pay rates etc. What role of an HR executive is the manager performing? a. The executive b. The service provider c. The consultant d. The facilitator Fo rI BS U se 12. Which of the following is not a key characteristic of a successful quality improvement program? a. Education and training b. Team work c. Total systems approach d. Short term-goal perspective 4 c. d. Employee relations management Strategic human resource management Compensation management Human relations management 0 15. What is the organization termed as, if the reporting channels of work relations are pre-defined and accountability and responsibility are fixed for all the roles? a. Informal organization b. Semi-formal organization c. Formal organization d. Autonomous organization of 20 1 a. b. c. d. a. b. 16. Which of the following is not a characteristic of a flat organization structure? a. Wide span of control b. Fewer hierarchical levels c. More people under the control of one manager d. Close supervision Cl as s 10. The relationship between an employee and his manager plays a critical role in determining the job satisfaction level of the employee. Which of the following are the ideal characteristics that an employee would like his manager to possess? i. Lend support and guidance ii. Reward the employee for his contribution iii. Identify the employee’s strengths and weaknesses iv. To keep to himself, his expectations from the employee 13. The extent to which an employee's work meets his professional needs is termed as a. Quality of work life b. Quality circles c. Quality program d. Quality cycle 14. _________ helps the organization in the achievement of long-term and short-term goals through optimum utilization of human resources. It involves the development of HR objectives and their alignment with the organizational objectives. 17. The right to give orders and the power to exact obedience from others in the process of discharging the responsibility is termed as a. Authority b. Accountability c. Responsibility d. Adaptability 18. Vinay Sinha, the HR manager of a pharmaceutical firm was given the task of identifying the broad policy issues related to human resources like the employment policy, welfare policy, and development etc., after taking into consideration the changing business scenario. What level of HR planning will Vinay have to undertake? a. Corporate-level planning b. Intermediate-level planning c. Operations planning d. Short-term planning 19. Planning that includes determining the recruitment/layoff strategy, development strategy etc. based on the corporate policies and strategies is the
  7. 7. Part A a. b. c. d. 24. __________ is the simplest unit of work and involves very elementary movement. a. Position b. Task c. Job d. Micromotion 25. Which of the following is the first step in the process of job analysis? a. Developing a job description b. Job specific competency determination c. Information gathering d. Developing a job specification Cl as s 20. An HR manager was involved in the process of human resource planning. The first step he undertook was assessing current resources and making an inventory. What is the next step that the manager has to take in HRP? a. Start recruiting to meet the requirements b. Forecasting c. Matching the inventory with future requirements d. Developing an action plan to meet future requirements Job evaluation Job description Job analysis Job design 0 Corporate-level planning Intermediate-level planning Operations planning Short-term planning of 20 1 a. b. c. d. se O nl y 21. An IT firm wanted to reduce the number of employees because of the decrease in its number of projects. But the organization promised its employees that it would search for other opportunities for its displaced employees. What is the type of services being offered by the organization? a. Outplacement b. Placement c. Career growth d. Poaching Fo rI BS U 22. During slack periods organizations do not want their middle/top level managers to stagnate. The employees are asked to work for other organizations for a specified period of time. The employees work on projects with these organizations but continue on the rolls of the parent organization. What is the above process termed as? a. Loaning b. Work sharing c. Outplacement d. Attrition 23. The process of determining and recording all the pertinent information about a specific job, including the tasks involved, the knowledge and skill sets required to perform the job, is termed as 26. Motion and time studies are examples of which method of job analysis? a. Observation method b. Technical conference method c. Group interview method d. Questionnaire method 27. In a job analysis method, information was being gathered regarding a particular job from experts. What is the method of job analysis being used here? a. Observation method b. Technical conference method c. Group interview method d. Questionnaire method 28. A job analysis where the job analyst conducts background research, interviews job incumbents and supervisors and prepares a detailed document is a. Position analysis questionnaire b. Functional job analysis c. Diary method d. Technical conference method 29. A questionnaire propounded by Ernest J Mc Cormick that provides job requirement information and contains 194 elements that fall into six major categories is the 5
  8. 8. Introduction to Human Resource Management 30. Which method of job analysis is more suitable for the middle and top level management jobs and not for the lower level jobs? a. Position analysis questionnaire b. Functional job analysis c. Diary method d. Critical incident technique 36. Which approach to job design has a key element called the 'task idea' that led to job specialization? a. Engineering approach b. Human relations approach c. Socio technical approach d. Job characteristics approach Cl as s 31. What describes in detail, the various aspects of a job like the tasks involved the responsibilities of the job and the deliverables? a. Job description b. Job specification c. Job evaluation d. Job enlargement a. b. c. d. to be performed by him and the responsibilities attached to the job and the relationship with other jobs in the organizational set-up. The above process will help Prashanth gain knowledge about the Job description Job analysis Job depth Job content 0 Position analysis questionnaire Job analysis questionnaire Performance analysis questionnaire Employee analysis questionnaire of 20 1 a. b. c. d. se O nl y 32. In the process of job specification, the specifications that include analytical ability, data interpretation ability, decision-making ability etc., are a. Physical specifications b. Emotional specifications c. Mental specifications d. Behavioral specifications Fo rI BS U 33. Which of the following are the uses of job analysis? a. Organization audit b. Promotion and transfer c. Health and safety d. All the above 34. The process of structuring work and designating the specific activities at the individual or group level is called as a. Job design b. Job description c. Job analysis d. Job specification 35. Prashanth Kumar on joining as a software engineer in a major IT firm, was given an account of the various tasks or activities that have 6 37. In the engineering approach to job design the workers felt that overspecialization hindered the skills and experience. Which of the following are the demerits of such overspecialization? i. Repetition of tasks ii. Limited social interaction iii. Mechanical pacing iv. Scope for personal input a. b. c. d. i and ii i, ii and iii i and iii All the above 38. Working conditions, organizational policies, interpersonal relations, all these come under which factors of job satisfaction as proposed by Herzberg? a. Motivators b. Organizers c. Providers d. Hygiene factors 39. Ravinder was employed with a large MNC. Though the pay and working conditions were good, he was not satisfied. He felt that there was no achievement, growth, responsibility and recognition. What are these factors, under the motivation theory proposed by Herzberg?
  9. 9. Part A Motivators Organizers Providers Hygiene Factors c. d. a. b. c. d. i, ii iii and iv Only iii All the above nl y Cl as s 41. Supriya Verma joined a pharmaceutical firm and there she was given the freedom and discretion in scheduling her work. What is the core dimension according to the job characteristics model that is being followed? a. Task identity b. Task significance c. Autonomy d. Skill variety 45. Which of the following are the techniques of job enrichment? i. Developing management generalists at higher organizational levels ii. Increasing the length and operating time of each job iii. Minimizing controls and providing freedom of work when the employees are clearly accountable for attaining defined goals. iv. Providing wider scope, greater sequencing and increased pace of work. 0 40. Which theory of job design by Hackman and Oldham states that employees work hard when they are rewarded for the work they do, and when the work gives them satisfaction? a. Job characteristics approach b. Employee characteristic approach c. Performance characteristic approach d. Group characteristic approach Job rotation Job specification of 20 1 a. b. c. d. Fo rI BS U se O 42. The core job dimensions for a job are analyzed and combined into a single predictive index under the job characteristic approach. What is this index called? a. Performing potential score b. Motivating potential score c. Employee potential score d. Motivating potential significance 43. __________ helps in developing management generalists at higher organizational levels as it exposes them to several different operations. a. Job analysis b. Job rotation c. Job enrichment d. Job enlargement 44. Which of the following helps in increasing the length and hence the operating time of each cycle of work for the job holder? a. Job enlargement b. Job enrichment 46. A software firm allowed its employees to choose their working hours but within some specified limits. This is an example of a. Job sharing b. Flextime c. Condensed work d. Job enlargement 47. The practice of working at home or while traveling and at the same time keeping in contact with the office is termed as a. Telecommuting b. Job sharing c. Flextime d. Condensed work 48. From which of the following approaches is the engineering approach derived? a. Scientific management approach b. Process approach c. Social systems approach d. Systems approach 49. The process of searching for prospective employees and stimulating them to apply for jobs in an organization is termed as 7
  10. 10. Introduction to Human Resource Management 50. A good recruitment policy a. Is flexible enough to accommodate changes in the organization b. Has its own policies and does not comply with government policy on hiring c. Requires more investment for the organization d. Ensures short-term employment opportunities for its employees c. d. The situation in the labor market The stage of development of the industry Culture, social attitudes and beliefs Geographical location of the job nl y a. b. U se O 52. The HR department of Magnus Textiles made sure that any vacancies in the organization first reached the prospective candidates in the organization. Candidates from the organization responded to job postings. What is the source of recruitment being used? Advertisements Internal search Employee referrals Campus recruitment Fo rI BS a. b. c. d. 53. The important information that has to be furnished in an advertisement includes: i. Location or place of work ii. Nature of the job iii. Tasks and responsibilities in the job a. b. c. d. 8 55. A software firm has a vacancy for the post of 'Vice President' (operations). Which of the following methods of recruitment would you suggest? a. Employment pages of a national daily or a business magazine b. Advertisements in a local daily c. Campus placement d. Listing of the vacancy on a placard outside the organization Cl as s 51. Which of the following is not an external environmental factor that determines the effectiveness of a recruitment program? 54. Many human resource professionals are now using the Internet to recruit personnel. Which of the following statements are not true about online recruiting? a. It is a time saving process b. It is cost effective c. It supplements rather than replaces the leg work associated with offline recruitment d. It eliminates completely the work associated with recruitment on the part of the recruiter to his/her total convenience. 0 Promotion Recruitment Selection Placement of 20 1 a. b. c. d. i and ii ii and iii i and iii All the above 56. The success of a recruitment program can be judged based on i. The number of successful placements ii. The number of hirings iii. The number of offers made iv. The number of applicants a. b. c. d. i and ii i, ii and iii i, ii and iv All the above 57. The process of choosing the most suitable candidate for a job from among the available applicants is called a. Recruitment b. Placement c. Appraisal d. Selection 58. ____________ helps in identifying the knowledge, skill and attitude set that enables an individual to deliver the best performance in his job.
  11. 11. Part A 64. A formal record of an individual's appeal or intention for employment that helps in gathering information about a prospective candidate is called a. Application blank b. Employee data c. Employee blank d. Data bank 65. Which of the following are the methods for evaluating the application forms in an organization? a. Weighted methodology b. Clinical methodology c. Moving average method d. Both a and b Cl as s 59. Vishal industries committed the mistake of hiring an unsuitable candidate for one of its vacancies. The negative outcomes as a result of selecting an unsuitable candidate are a. Lose the goodwill of other employees b. The cost of employee’s nonperformance c. It will not be able to lay-off such employees d. Reduction in the number of employees. a. b. c. d. selection method enhances the effectiveness of an organization. Generalizability Utility Legality Reliability 0 Competency modeling Competency planning People competency Competency training of 20 1 a. b. c. d. nl y 60. In the process of selection, the step that follows initial screening interview is normally the a. Decision making interview b. Preliminary interview c. Reference check d. Analyze the application blank U se O 61. In which approach of reliability, a group of candidates take the same test twice, within a gap of 2-3 weeks? a. Repeat or test retest b. Alternate form c. Parallel form d. Split-halves procedure Fo rI BS 62. To test the consistency of the selection tests, a HR manager divided the test into two parts and gave it to the candidates. Depending on the degree of similarity in scoring in these two parts, the reliability of the test was determined. What is the approach of reliability that is being used? a. Repeat or test retest b. Alternate form c. Parallel form d. Split-halves procedure 63. ____________ is the degree to which the value provided by the 66. ___________ test measures a person's ability to classify things, identify relationships and derive analogies. It measures several factors like logical reasoning, analytical skills and general knowledge. a. Intelligence test b. Performance tests c. Emotional tests d. Social tests 67. A bank wanted to conduct a test for the applicants for the job of a clerk cum cashier. Most of the applicants were fresh from the college with little experience related to the job. The bank wants to pick and train the right candidates. Which test do you suggest to be given to the candidates? a. Aptitude tests b. Intelligence tests c. Achievement tests d. Situational tests 9
  12. 12. Introduction to Human Resource Management Recruitment Placement Selection Training a. b. c. d. 0 73. In an application form design, questions on all the following are ethical except The educational qualifications of the employee The name and addresses of individuals who can be contacted for reference checks Salary drawn by the candidate in the last job Issues that concern the privacy of the applicant Cl as s 69. Mohan Krishna attended an interview and was very upset with the way it progressed. The interviewer repeatedly interrupted him, criticized his answers and asked him unrelated questions. What is the method of interview adopted? a. Panel interview b. Stress interview c. In-depth interview d. Group interview a. b. c. d. of 20 1 68. In a defence organization, the tests conducted concentrated on validity and truthfulness of an applicant's answers, by monitoring the physical changes in his body as he answered a series of questions. What is the type of test being used? a. Polygraph tests b. Situational tests c. Interest tests d. Intelligence tests O nl y 70. Identify the correct sequence in an interview process. i. Closing an interview ii. Evaluation iii. Conduct of interview iv. Reference checks se i, ii, iii, iv i, iv, ii, ii iii, i, ii, iv iv, iii, ii, i U a. b. c. d. Fo rI BS 71. Which of the following steps should be adhered to, when interviewing? a. Ask demanding and leading questions b. Get too engrossed in the interview to follow the plan c. Interrupt the candidate frequently d. Make the candidate feel comfortable and relaxed 10 72. "__________ is the determination of the job to which an accepted candidate is to be assigned. It is a matching of what the supervisor has reason to think he can do with the job demands." 74. Identify the correct statement. a. b. c. d. The time period for orientation is relatively long as compared to socialization The changes resulting out of orientation are more than those out of socialization Orientation is an event where as socialization is an ongoing process More organizational members are involved in the process of orientation as compared to socialization 75. Vishal joined a consultancy firm as a trainee, but soon decided to leave the organization. During the exit interview, it was found that he was not comfortable in the workplace, and also he did not find the work atmosphere to be friendly. What would have gone wrong in the work place? a. b. c. d. The organization did not have an effective induction program The organization did not create a positive perception in the mind of the employee The employee was not able to adapt to the organization All the above
  13. 13. Part A 0 82. The metamorphosis stage of socialization is considered to be successful if i. the employee understands and accepts the norms, policies and procedures of the organization ii. he gains the trust and cooperation of the co-workers iii. it results in an increase in employee productivity a. i b. ii c. i and iii d. All the above Cl as s 77. An organization emphasized that its employees should dress formally but did not consider it to be absolutely essential for the firm. What are such norms termed as? a. Relevant norms b. Irrelevant norms c. Flexible norms d. Functional norms a. b. c. d. performed but do not apply it practically? Metamorphosis stage Encounter stage Pre-arrival stage Evaluation stage of 20 1 76. "___________ signifies a system of shared meaning held by the members that distinguish one organization from another organization." a. Organizational change b. Organizational development c. Organizational culture d. Group dynamics se O nl y 78. Vijay Yadav was employed in the production department of a firm manufacturing textiles. He was well behaved and agreed to the noms of the organization. Vijay Yadav who accepts all the organizational norms is a a. Assertive b. Conformist c. Rebel d. Perfectionist Fo rI BS U 79. What is the process by which an individual acquires the attitudes, behavior and knowledge he or she needs to participate as a organizational member called? a. Performance appraisal b. Management development c. Socialization d. Employee Training 80. All the following are included in the process of socialization except a. Pre-arrival stage b. Metamorphosis stage c. Encounter stage d. Evaluation stage 81. In which stage of socialization, employees or candidates have knowledge about the job to be 83. A worker performing effectively in a manufacturing unit was designated as a supervisor. What is the type of socialization strategy being used in the manufacturing unit? a. Fixed b. Sequential c. Non-sequential d. Collective 84. In a contest strategy, a. The channels of movement in a socialization process are kept open and an individual is given an opportunity to perform better in the next stage b. Employees are segregated on the basis of their knowledge and abilities c. An individual passes through a sequence of activities for the accomplishment of a particular target d. There are no discrete or identifiable transition stages and the targets are accomplished in one go 85. In an organization, employees were made to pass through grueling work loads to make them prepare for the challenges in the future. This way the organization planned to promote 11
  14. 14. Introduction to Human Resource Management 0 d. Views the world as a differentiated market place The organization identifies its best practices and resources from within and outside the organization and employs them where ever they are best suited 90. Which approach to IHRM is based on 'customization?' a. b. c. d. Ethnocentric approach Polycentric approach Geocentric approach Socio-centric approach 91. Which of the following statements regarding IHRM is correct? Cl as s 86. Of the four approaches adopted by international operations, which approach tries to create value by emphasizing on local responsiveness? a. The multi-domestic b. The international c. The global d. The transnational c. of 20 1 a. b. c. d. solidarity and mutual concern among the employees. The organization believes that to learn and adapt to new organizational norms, one has to unlearn the previous set of norms. Which strategy of socialization is the organization following? Investiture Divestiture Serial Disjunctive se O nl y 87. __________is defined as “the interplay among three dimensions – human resource activities, type of employees and countries of operations.” a. International HRM b. Socialization c. HRM d. Employee relations Fo rI BS U 88. Host country nationals are a. Parent-company nationals who are sent to work at a foreign subsidiary b. Natives of a country other than the host country of an overseas subsidiary c. Natives of the country where an overseas subsidiary is located d. An expatriate who returns to home country 12 89. In the Geocentric Approach to IHRM, a. Companies view the world as a single market place b. The transfer of knowledge from the parent to the subsidiaries is smooth and complete a. b. c. d. Domestic HRM has increased complexity of activities than IHRM There is more cultural awareness and tolerance in domestic HRM than IHRM HRM involves management of cross cultural teams IHRM has diluted risk on the business front and increased risk on people front 92. Which of the following is not an assumption for socialization process? a. b. c. d. Socialization does not occur in vacuum People adjust in similar ways Socialization influences employee performance and organizational stability New members tend to eagerly mingle with senior employees 93. Hofstede developed five dimensions of national culture and provided a research instrument to measure them empirically. Which of the following is not one of the dimensions? a. b. c. d. Power distance Individualism Uncertainty avoidance Race
  15. 15. Part A Host Country nationals Third country nationals Expatriates Repatriates a. b. c. d. Human resource approach Systems approach Contingent approach Statistical approach nl y 96. Which approach states that "no one particular management action or design will be suitable for all situations?" O Human behavior approach Role approach Systems approach Contingent approach se a. b. c. d. Fo rI BS U 97. HR department maintains a set of proposals and actions that act as reference points for managers in their dealings with employees. What is this called? a. b. c. d. HR guide HR ethics HR policy Managerial policy 98. Which of approaches currently? a. b. c. d. the is 100. Which of the following is not indicated by high motivating potential score? a. High employee motivation b. High employee performance c. High employee satisfaction d. High employee turnover Cl as s 95. There are different approaches that explain the importance of human resources management. Which of the following options is not one of the approaches to HRM? 0 a. b. c. d. 99. Which of the following gives the motivating potential score? a. ((Skill variety + task identity + task significance)/3) * autonomy * feedback b. ((Autonomy + Feedback)/2) * (skill + task identity * task significance) c. ((Autonomy * Feedback)/2)* (skill + task identity + task significance) d. ((Skill variety * task identity * task significance)/3) * (autonomy + feedback) of 20 1 94. Consider the following example. An Indian firm with operations in European countries sends employees of US origin to work with their counterparts in European countries. What is the term used to refer to the employees of US origin working in European countries? following HR most popular Human resources approach Scientific management approach Systems approach Technical approach 101. Given below are steps in job enrichment. Identify the correct sequence of steps. i. Selecting jobs, which permit close relation between motivation and job performance ii. Make a list of changes that might enrich jobs by brainstorming iii. Providing adequate training, guidance, encouragement and help to employees a. i, iii, ii b. i, ii, iii c. ii, iii, i d. ii, i, iii 102. Which of the following are guidelines for drafting and maintaining a good job description? a. Indicating the scope and nature of the work and all important relationships. b. Indicating the work and duties of the position c. Explaining the supervisory responsibility to the individuals d. All the above 103. __________ is defined as the degree to which its validity, established in one context, can be extended to other ‘primary contexts’. 13
  16. 16. Introduction to Human Resource Management 104. One of the following is not a managerial function of human resource management a. Planning b. Organizing c. Staffing d. Retrenching nl y 106. Decision-making is faster in a a. Tall organization b. Flat organization c. Centralized organization d. None of the above Fo rI BS U se O 107. One of the major reasons for the line-staff conflict is a. Empathy towards the limitations of each other b. Complete understanding of the business by the staff function c. Prejudice and bias against each other d. Strategic orientation of the staff function 108. Some of the big IT firms in the country withdrew their campus placement offers to some students when the IT market plummeted last a couple of years back. It shows that there was a. Problem with the recruitment policy b. Problem with the selection c. Problem with the human resource planning d. None of the above 109. ________________ should not be one of the first steps in dealing with surplus manpower for a short period. 14 Leave of absence without pay Work-sharing Loaning Retrenchment 110. Employee referrals a/an___________ source recruitment a. b. c. d. External Internal Hybrid None of the above is of 111. Concealed identity or blind advertising helps organizations a. b. Restrict the number of applicants Escape from the notice of competitors when critical positions are vacant Lessen the burden of the applicants Lessen the cost of advertising Cl as s 105. All except one of the following are the different aspects of Human Resource Development (HRD) a. Job evaluation b. Training & development c. Career planning d. Performance appraisal a. b. c. d. 0 d. Legality of the selection method Utility of the selection method Generalizability of the selection method Validity of selection method of 20 1 a. b. c. c. d. 112. The individuals who reject all the organization standards are labeled as "misfits," as their actions contrast organizational goals. They are also called as a. Rebels b. Fire fighters c. Questioners d. Agitators 113. In India, workers’ participation has limited success because of the following factor: a. b. c. d. The differing perceptions and attitudes between the workers and the management regarding the degree of participation. The trade unions are poorly fragmented and organized. Inter-union rivalry and influences of different political philosophies All the above 114. In India, according to the Industrial Policy Resolution, 1956 the aim of the government in advocating workers’ participation in management is
  17. 17. Part A i. To create a socialist society where the workers share the managerial powers ii. To increase industrial peace, iii. To have better relations and increased cooperation from workers 0 i and ii ii and iii iii and i i, ii and iii Cl as s 115. ____________ council studies absenteeism at the workplace and recommends steps to reduce it at the lowest level of worker participation. a. Shop council b. Plant council c. Unit council d. Joint council 120. Maniflex refers to a. The flex time in which an employee is given the freedom to opt for the start and quit time for a particular period, say, a week or a month b. The flex time where an employee can start and quit any time on condition that he has to complete 8 hours of work a day c. Flextime which requires an employee to complete 40 hours per week and the number of hours he/she works in a day can be varied d. A flex time which is similar to variable day and there is no need to work for specific hours of 20 1 a. b. c. d. a. b. c. d. time for a week. What is the type of flex time being followed by the firm? Gliding time Flexi tour Variable day Maniflex O nl y 116. The ______ council usually deals with matters pertaining to the – operational, economic and financial, personnel, welfare and environment areas at a level above the shop/department level. a. Shop council b. Plant council c. Unit council d. Joint council Fo rI BS U se 117. According to _____________ approach, the problems in industrial relations arise because of the differing perceptions and attitudes of the management and the workers. a. Sociological approach b. Psychological approach c. Human relations approach d. Gandhian approach 118. All the following are innovative methods to improve the quality of work life except a. Flex time b. Job enrichment c. Job rotation d. Demotion 119. An employee in a textile manufacturing firm was given the freedom to opt for the start and quit 121. A work schedule that includes a fixed core period each day like a 7 a.m. - 3:30 p.m. 2:00 p.m.-10:30 p.m., or 11 a.m. - 7:30 p.m. with a half an hour lunch break is called a. Permanent work schedules b. Temporary work schedules c. Alternative work schedules d. Shared work schedules 122. Job sharing, work sharing, phased retirement, all these are examples of a. Part time employment b. Full time employment c. Compressed work week d. Alternative work schedules 123. What are the systems termed as, when the programs involve redesigning the workplace not only technologically but also physically with human considerations for the workplace? a. Socio-technical systems b. Psychological systems c. Human relations system d. Physical systems 15
  18. 18. Introduction to Human Resource Management b. c. d. Promoting and communicating the need for a quality circle Composition of a quality circle Presentation of suggestions Execution 0 a. 129.This technique creates an open environment free of criticism, encouraging employees to participate and come up with their own ideas. One idea leads to another and impractical and unreasonable ideas are also stimulated and recorded without being suppressed. What is this process termed as? nl y Cl as s 125. "__________is a self-governing group of workers, with or without their supervisors, who voluntarily meet on a regular basis to identify, analyze and solve problems in their work field." a. Employee groups b. Quality circles c. Quality systems d. Employee circles 128.In the development of a quality circle, what is the phase that follows the stage of initial problem solving? of 20 1 124. When the management conducts QWL programs in association with the union, it: a. Leads to effective negotiations that enable designing contracts that satisfy both the parties b. Improves the efficiency of the management and strengthens employee organizations. c. Encourages participative management and involves employees in decision making. d. All the above Fo rI BS U se O 126. The difference between quality circles and task groups is that a. In task groups, members skill does not matter while in quality circle it is important to have skilled employees b. Employees in task force are selected by management whereas in quality circle, they are selected by members of the group c. The only aim of task group is people building whereas in quality circles it is problem solving d. The source of members in task group is from the same work group whereas in quality circles it is from various functions 16 127. Which of the following is not a basic objective of the quality circle? a. To enhance, develop and utilize human resources effectively b. To develop quality of products as well as productivity c. To improve quality of work life d. To increase employee benefits and incentives a. b. c. d. Cerebral popcorn Group popcorn Group storm Idea storm 130. Which committee looks after the activities of the QCs in a particular unit/division and acts as an advisory board? a. Quality committee b. Steering committee c. Employee committee d. Standard committee 131. Who introduced the concept of quality circles? a. b. c. d. Dr. Edward Deming Dr. Caldwell Dr. Kaoru Ishikawa et al Dr Kim Yung Duc 132. What is the likely composition of a quality circle? a. b. c. d. Six to twelve members Two to three members Fifteen to twenty members More than twenty members 133. In a plant council, when is it obligatory to appoint a woman representative?
  19. 19. Part A d. 134. a. b. c. d. ___________is “a continuous association of wage-earners for the purpose of protecting and advancing the conditions of their working lives.” Management Trade union Quality circle Productivity circle U se O nl y 135.Under extramural functions, a. Trade unions fight with employers to achieve economic interests of their members b. Trade unions act as benefit organizations providing financial and non-financial assistance to their members during sickness, strikes, lockouts, boycotts, temporary removal from service, etc c. Trade unions involve themselves in various activities to serve a social cause and accomplish their social responsibility towards different sections of the society d. Under these functions, trade unions associate themselves with a political party, get affiliated to the party and help it by enrolling members, campaigning for it during the elections, collecting donations, etc BS Fo rI Intramural Extramural Political Social 137. The main objective of a reformist union is a. To conserve the capitalist society, to continue the employer-employee relationship and the competitive system of production b. To demolish the prevailing structure and replace it with a new one based on the ideals they believe in c. Not to cooperate with their employers instead they aim at using whatever and whomever they can in order to achieve their goals d. To enjoy a large part of the booty earned from the customers and give only a small portion to the workers 0 c. a. b. c. d. of 20 1 b. If the number of women workers is 5 percent or more of the total workforce If the number of women workers is 15 percent or more of the total workforce If the number of women workers is 30 percent or more of the total workforce Even if there is one woman worker Cl as s a. 136. In India, BMS (Bharatiya Mazdoor Sangh) is affiliated to the BJP (Bharatiya Janata Party), CITU is affiliated to CPM (Communist Party Marxist) and INTUC (Indian National Trade Union Congress) is affiliated to the Congress (I). What is the function being performed by the trade unions? 138. Business unions and uplift unions are types of a. Reformist unions b. Revolutionary unions c. Guerilla unions d. Anarchist unions 139. ____________ unions are ideal in nature and aim at broader issues such as education, benefits, health and insurance. a. Uplift Unions b. Business Unions c. Political unions d. Anarchist Unions 140. Trade unions based on the Marxist ideology can be termed as a. Friendly b. Revolutionary c. Uplift d. Business 141. Predatory unions a. Use revolutionary means to completely dissolve the current economic system. They believe that capitalism is a system that does not work 17
  20. 20. Introduction to Human Resource Management d. a. b. c. d. General union Industrial union Craft union Staff union 146. All the following are the problems faced by trade unions except a. b. c. d. Uneven growth Small size Few unions Inter-union rivalry Cl as s 142. The Cine Dancers’ Association and the Indian Pilots’ Guild are examples of a. Craft unions b. Staff union c. Industrial union d. General union 145. The Rashtriya Mill Mazdoor Sangh, Bombay; the Engineering Mazdoor Sabha, Bombay; the Labor Mines Mazdoor Sangh, Udaipur, etc., are a few examples of 0 c. Do not stick to a particular ideology or a specific methodology to achieve their objectives Destroy the power of capital and capitalists through laws, attain power by participating in political action and apportion wealth and offer effective power to the workers Are ideal in nature and aim at broader issues such as education, benefits, health and insurance of 20 1 b. se O nl y 143. A staff union a. Is experienced and works on a single craft or trade or any number of crafts or trades b. Generally employs workers from non-manual sectors c. Is based on the industry in which the members work rather than the craft, grade, skill, position or sex d. Consists of members belonging to various industries with varied skills and experience Fo rI BS U 144. All the following are the advantages of the mutual insurance method adopted by the trade unions, except a. It attracts the people to join the union with its varied welfare activities; b. Under this method, members donate more if they need more benefits. This helps in improving the financial condition of the union and enhances its bargaining power when the need arises; c. It restricts outsider interference like that of political leaders and helps maintain friendly relations with the management d. In case a strike continues for a long time, it helps the members to stay united by offering the required financial assistance 18 147. What is the tenure of the joint councils formed in an organization? a. b. c. d. 5 years 10 years 1 year 2 years 148. The extent to which employees are a. b. c. d. aware of their interests, skills, strengths and weaknesses regarding their career goals is termed Career motivation Career resilience Career insight Career identity 149. One of the following is not an example of a Career Anchor a. b. c. d. Functional competence Security and stability Entrepreneurial creativity Aspiring capability 150. ________________ helps organizations identify employee strengths and weaknesses to determine avenues for their career development. a. b. c. d. Gap analysis Individual assessment Organizational assessment Opportunity analysis
  21. 21. Part A 158. Clear and well-defined goals, a definite time plan and an action plan to achieve these goals, combined with timely feedback, are characteristics of a. Work standards approach b. Management by objectives c. BARS d. Balanced scorecard method nl y Cl as s 153. Employees who feel that there is nothing more to achieve and that their career has become stagnant are said to have reached a a. Career island b. Career plateau c. Career peak d. Career goal 0 152. Career planning and development programs for employees a. Increase employee frustration b. Promote only a lucky few c. Increase the employee turnover rate d. Ensure future availability of resources 157. Evaluation of an employee’s performance by his colleagues is called a. Peer appraisal b. Management by objectives c. Formal appraisal d. Group appraisal of 20 1 151. Understanding the career aspirations of an employee, determining his capabilities and competencies and identifying the gaps is termed a. Need analysis b. Gap analysis c. Opportunity analysis d. Employee analysis U se O 154. The employee at this stage strives to maintain a reputation and desires to be looked up to, in the organization. This is the a. Exploration stage b. Establishment stage c. Maintenance stage d. Disengagement stage 160. Paired comparison of employees is a method of a. Ranking b. Checklist c. Point allocation d. Forced choice rating 155. Reassignment of an employee to a higher level job that involves greater responsibility or status or pay is termed a. Transfer b. Cross-functional transfer c. Demotion d. Promotion 161. Appraisal of an employee performance by supervisor, self, peers, subordinates and customers is termed as a. Team appraisal b. Balanced scorecard method c. 360 degree appraisal d. Critical incident method 156. The process of selecting and developing employees in the organization to occupy key positions in the future is termed a. Career planning b. Succession planning c. Career development d. Human resource enhancement 162. The method of appraisal where the appraiser makes a list of all the important situations and employee reactions/behavior at that time is the a. Checklist method b. Critical incident method c. Graphic rating method d. Work standards approach BS Fo rI 159. The main disadvantage of the essay appraisal is that a. It consumes a lot of paper b. Different writing skills can portray employee performance differently c. Some points can be missed out by the evaluator d. Both b & c 19
  22. 22. Introduction to Human Resource Management 168. Supratim has been promoted to the post of an Area Sales Manager just last week, but finds himself lacking in some areas. His performance can be improved by a. Reprimanding him b. Training him c. Linking his pay to performance d. Providing him with an assistant 164. Rajan believes that all those from Xavier’s are very arrogant and complacent. This is reflected in his performance appraisal of Preethi, who is from Xavier’s. This is an example of a. Halo effect b. Perceptual set c. Stereotyping d. Stringency effect 169. Rapid Creations has been acquired by Indigo Hues. Employees of the acquired company need basic training in a. Human relations b. New technology c. Managerial aspects d. Company policies and procedures Cl as s of 20 1 0 163. If the appraiser allows a single characteristic of the appraisee to dominate his judgement of the employee performance, it is termed as a. Halo effect b. Stereotyping c. Perceptual set d. Primacy effect se O nl y 165. Priyank is a good salesman and works for an IT company. But, his performance in 2001-02 was affected because of the slump in the IT market. However, his boss fails to acknowledge it and rates his performance as poor. This is an example of a. Stereotyping b. Primacy effect c. Fundamental attribution error d. Halo effect Fo rI BS U 166. Veena always awards high ratings to all her subordinates irrespective of their performance levels. She is affected by a. Leniency effect b. Primacy effect c. Recency effect d. Tringency effect 20 167. One of the main reasons for the negative attitude of employees towards performance appraisal is a. It is associated with pay b. It gives away how bad they are c. It tends to become subjective because of poor implementation d. It is not useful for any other organizational activity 170. Employees resist participating in training programs mainly because a. They are not convinced about their benefits b. They do not like to be away from their colleagues and friends c. They feel that they are ill-equipped that they need training d. None of the above 171. _________________, as a training method, helps the trainee gain crossfunctional knowledge a. Apprenticeship b. Simulation c. Job rotation d. Job enlargement 172. The method of training in which the trainee is given a series of questions to answer after reading the relevant material is called a. Role playing b. Simulation exercises c. Programmed instruction d. Committee assignments 173. ________________ helps in improving the communication, people-management and relationship management skills of the trainees.
  23. 23. Part A Computer modelling Role playing Class room lectures Vestibule training 179. Traditionally, the pay scales in companies were associated with 180. __________________ is the systematic process of analyzing and evaluating jobs to determine their relative worth in an organization. a. b. c. d. Job analysis Job design Job evaluation Job enrichment 181. The different factors associated with the jobs in an organization, which form the basis for job evaluation are termed a. Job specifications b. Job descriptions c. Job dimensions d. Job definitions Cl as s 175. The process of developing an understanding of the self and one’s relationships with other group members through unstructured group interaction is termed as a. Role playing b. Simulation exercise c. Sensitivity training d. Transactional analysis Employee performance Organizational hierarchy Worth of the candidate Charm of the employee 0 174. The basic yardstick to measure the success of a training program is a. No. of participants b. Reputation of the trainer c. Learning benefits to the trainees d. The amount paid in TAs & DAs paid to all the trainees a. b. c. d. of 20 1 a. b. c. d. se O nl y 176. Response, learning, performance and results, are the four levels in evaluating a management development program. This system of evaluation is called a. Taylor’s system b. Kirkpatrick’s system c. Werther & Davis’s method d. Armstrong’s method Fo rI BS U 177. A meeting of people to study and analyze a problem from different angles for developing the participants’ ability to exchange ideas and change their own views is a a. Class room lecture b. Case study c. Conference d. Sensitivity training 178. A person who is either obedient or manipulative, charming at one time and repulsive at another time, is in a a. Child ego state b. Adult ego state c. Parent ego state d. Chameleon ego state 182. The process of ranking in which the relative importance of each job is determined in comparison with the representative job is called a. Relative ranking b. Comparative ranking c. Paired comparison d. Single factor ranking 183. The main disadvantage of the job grading method is that a. It is more comprehensive b. It is not supported by job description or specification c. It is very expensive d. The grade definitions have to cover jobs from different functions 184. Example of a quantitative method of job evaluation is a. Single factor ranking method b. Factor comparison method c. Job classification method d. All of the above 21
  24. 24. Introduction to Human Resource Management 186. Compensation administration should match/follow all the following basics except a. Employee expectancy b. Principle of equity c. Legal requirements d. None of the above Executive compensation program Fixed compensation program Variable compensation program Performance pay program 0 a. b. c. d. 192. The main hurdle in having a National Wage Policy in India is a. b. c. d. Opposition from trade unions Opposition from workers Regional & industrial disparities Opposition from the heads of state 193. Performance bonus is an example of a/an nl y Cl as s 187. The financial capacity of the employer is taken into consideration in the concept of a. Minimum wage b. Fair wage c. Living wage d. Just wage 191. The system of compensating employees in accordance with their performance is termed the of 20 1 185. Decision band method of job evaluation is based on the premise that the value of a job depends on its __________ requirements a. Relationship management b. Hierarchical c. Decision-making d. Decision-abiding U se O 188. Radha works in a small scale industry where she is paid Rs. 100 as a daily wage like all her coworkers. This is an example of a. Time wage plan b. Piece wage plan c. Skill-based pay d. Competency-based pay Fo rI BS 189. Satwik is an IT engineer, who earns Rs. 40000 p.m., working for his company. His pay is an example of a. Qualification-based pay b. Skill-based pay c. Time wage plan d. Piece wage plan 22 190. Under which system, the wage for each piece of work is fixed and the workers are paid once the work is completed. a. Piece-wage plan b. Skill-based pay c. Time wage plan d. Payment by results a. b. c. d. Intrinsic reward Extrinsic reward Intrinsic wage payment Extrinsic wage payment 194. The process of rewarding employees by giving them a stake in the company, which further enhances their performance is called the a. b. c. d. Gain-sharing Annual bonus Employee stock plan Profit sharing 195. The fringe advantages that accrue to an employee over and above his salary, as a result of his employment and position in an organization are termed a. b. c. d. Benefits Incentives Compensation Wages 196. The flexible benefit plan for employees, where the employee gets a chance to choose from a lot of benefits, is also called the a. Holiday benefit plan b. Restaurant benefit plan c. Cafeteria benefit plan d. Variable benefit plan
  25. 25. Part A 203. “________________ is employee self-control which prompts him to willingly cooperate with the organizational standards, rules, objectives etc.” a. Culture b. Behavior c. Discipline d. Trust 198. The basic difference between incentives and benefits is a. Incentives are service related and benefits are performance related b. Incentives are performance related and benefits are service related c. Incentives are non-monetary and benefits are monetary d. Incentives are monetary and benefits are non-monetary 204. Triumph Chemicals awards the “Safest Place” annual award to the unit with the best safety record every year, across its 16 units. This is an example of a. Positive discipline b. Negative discipline c. Enforced discipline d. Reward discipline Cl as s of 20 1 0 197. The provision of compensation or lucrative benefits for the top management, in case of a job loss/changeover when there is a change of guard, is the a. High-flier scheme b. Retention planning scheme c. Cool landing scheme d. Golden parachute scheme nl y 199. Halsey plan, Rowan plan, Barth system etc. are all examples of a. Long-term incentive plans b. Short-term incentive plans c. Non-monetary incentive plans d. Employee benefit plans U se O 200. The first sign of an employee’s discontent either with the job or the organization is a. Conflict b. Industrial unrest c. Grievance d. Strike Fo rI BS 201. The first stage in grievance redressal is handled by the a. Organizational head b. HR department c. Arbitrator d. Supervisor 202. The method of smoothing out differences to resolve a conflict between two parties, in view of larger interests is a. Avoidance b. Accommodation c. Arbitration d. Mediation 205. Being late to work is an example of a. Minor infraction b. Major infraction c. Medium infraction d. Intolerable offence 206. Corrective action should be immediate, impartial and consistent with a warning – this is called the a. Common disciplinary rule b. Red hot stove rule c. Cisco’s disciplinary rule d. Yellow hot stove rule 207. All the following are the features of a good disciplinary process except, a. Consistency b. Impartiality c. Immediate action d. Unpredictability 208. The in charge of the acid storage plant at Sirpi was suspended for the accident that took place. Investigation revealed that he had actually approached the management with a request for repairing a leaking pipe, but the management ignored it. His suspension is an example of a. Late intervention b. Negative feedback 23
  26. 26. Introduction to Human Resource Management 209. Ratan got a shock when he was suspended for smoking in the office premises. He says he never knew a puff came with such a heavy tag attached to it. This is an example of a. Negative feedback b. Lack of communication c. Immediate action d. Late intervention 215. The production targets are fixed with the mutual consent of the management and the workers in Calcio Tubes & Bulbs Pvt. Ltd. This is an example of a. Associative participation b. Administrative participation c. Decisive participation d. Informative participation Cl as s 210. _____________ can be defined as the relationship between the management and employees of an industry. a. Interpersonal relations b. Industrial relations c. Organizational relations d. Employment relations 214. ‘Most of the problems in industrial relations arise out of the differing perceptions and attitudes of the management and the workers’ – this is the a. Sociological approach b. Human relations approach c. Gandhian approach d. Psychological approach 0 Misplaced responsibility Punitive discipline of 20 1 c. d. O nl y 211. Paternalistic style of management, adopted during the ‘human relations’ era is also called the a. Exploitative authoritative style b. Benevolent authoritative style c. Consultative management style d. Participative style Fo rI BS U se 212. _______________ bodies like Indian Labor Conference, Standing Labor Committee and Industrial Committees help the government in settling industrial disputes. a. Bipartite b. Tripartite c. Constitutional d. Autonomous 24 213. _______________ is a managerial tool that facilitates an amicable and mutually acceptable agreement between the management and the employees to solve employment related problems. a. Adjudication b. Industrial conflict c. Collective bargaining d. Strike / Lockout 216. A trade union’s primary objective is to a. Conduct strikes b. Force lockouts c. Fight with the management on employment related issues d. Achieve economic benefits for employees 217. The workers in these unions are a. b. c. d. experienced and work on a single trade or possess similar skills and specialization. Craft union General union Industrial union Staff union 218. The difference in the wages paid to workers in the same unit, occupation or region is called a. Wage inequality b. Wage differential c. Compensation differential d. Compensation difference 219. Ramya analyzed the market opportunities and the future of the IT industry in-depth before taking up a career as a Systems Analyst. However, she is not very happy today as she feels she is unfit for the job. The most probable reason is
  27. 27. Part A c. d. 225. The approach that stresses on the fact that individuals should not be treated as mere factors of production is a. Human Relations Approach b. Scientific Management Approach c. Humanistic Approach d. None of the above Cl as s 220. As a student, when one is trying to assess one’s self and the opportunities available in the market to choose the right career, he/she is said to be in the a. Exploration stage b. Establishment stage c. Maintenance stage d. Disengagement stage 224. Both Raunak & Dilip work for View real Inc. Though Dilip is two years senior to Raunak, he earns Rs.5000 less than Raunak per month. This is because of the difference in their performances. View real follows the system of a. Standard compensation b. Variable compensation c. Executive compensation d. Biased compensation 0 b. She failed to do a proper selfassessment before taking the decision She is unhappy that all her friends are in the same industry She is unhappy that none of her friends are in the same industry She sees her friends in other fields doing better of 20 1 a. O nl y 221. The role of a legal advisor in an organization is very important. However, it has very little scope for career advancement because of a high degree of specialization. Such careers are called a. Declining careers b. Low-ceiling careers c. Career plateaus d. Glass-ceiling careers Fo rI BS U se 222. Virtuous Services Pvt. Ltd. believes that it pays quite handsome salaries to its employees. However, the turnover rate has been quite high in the recent past and all the exit interviews point to one factor – compensation, as the culprit. The company failed to a. Meet the legal requirements b. Follow the principle of equanimity c. Match the employee expectations d. Match the pay scales abroad 223. In the job classification system for job evaluation, job grades are defined and determined based on a. Organizational structure & pay packages b. Job dimensions & pay packages c. Pay packages & grade definitions d. Organizational structure & job dimensions 226. Hawthorne Studies gave raise to this approach of human resource management a. Mathematical Approach b. Human Relations Approach c. Human Resources Approach d. Contingent Approach 227. An average sincere employee expects his boss or manager to have all the following characteristics except a. Be genuinely interested in the employee and his work b. Ignore all the employee’s mistakes c. Be fair and frank in his dealings with the employee d. Recognize and reward the employee for his contributions 228. As an auditor, the HR professional a. Ensures that all managers of the organization perform their respective roles b. Conducts training and development activities c. Solve employee grievances d. Provides support to other departments in conducting appraisals etc. 25
  28. 28. Introduction to Human Resource Management Job design Job enrichment 0 235. If a selection method produces consistent results across different situations and times, it is termed to be a. Reliable b. Valid c. Legal d. None of the above 236. An interview where the interviewer does not chart out the formal structure of the interview but lets it take a natural course is called a a. Formal interview b. Unstructured interview c. Group interview d. Stress interview Cl as s 230. The marketing manager was asked to handle the product re-launch of toothpaste by VP-Marketing. The manager’s obligation towards the VP is called a. Responsibility b. Accountability c. Authority d. None of the above c. d. of 20 1 229. ________________ organizations are characterized by rigid structures ,directives and rules and are appropriate for static environments. a. Mechanistic b. Organic c. Flat d. Decentralized nl y 231. The process of ensuring that there are the right number of qualified people in the right jobs for best results is termed a. Human Resource Planning b. Recruitment c. Retrenchment d. Downsizing 237. The performance appraisal method that channelises employee efforts with organizational goals is a. BARS b. 360 degree appraisal c. Balanced scorecard d. Management by objectives 238. The employees of IIVB lose a halfday’s leave if they are late to work even by 15 minutes. This is an example of a. Punitive discipline b. Preventive discipline c. Positive discipline d. Precautionary discipline 233. One of the following is not a job characteristic under the Job characteristics Approach to Job analysis. a. Skill Variety b. Task significance c. Reporting authority d. Task significance 239. In India, regulation of employment and conditions of employment are governed by a. The Trade Union Act, 1926 b. The Industrial Disputes Act, 1947 c. The Factories Act, 1948 d. The Workmen’s Compensation Act, 1923 234. Adding more responsibility, providing wider scope, greater sequencing and minimizing controls, all constitute a. Job enlargement b. Job expansion 240. Registration and cancellation of trade unions is governed by a. The Trade Union Act, 1926 b. The Industrial Disputes Act, 1947 c. The Factories Act, 1948 d. The Workmen’s Compensation Act, 1923 Fo rI BS U se O 232. The statement of the required set of knowledge, skills and competencies for a job is called the a. Job specification b. Job description c. Job classification d. Job analysis 26
  29. 29. Part A 246. Munnalal & Sons. is a mediumsized traditional family business which wants to introduce some modern management practices like performance appraisal. The best suited method for the company is a. 360 degree performance appraisal b. BARS c. Management by objectives d. Balanced scorecard method 242. Rishabh has an adventurous spirit and loves trekking, rock-climbing etc. He wants to be a fighter pilot. His career anchor most probably is a. Service b. Pure challenge c. Autonomy d. Life style 247. Sugandhi works in a bank but works from 9 a.m. to 2 p.m. (instead of 9 to 6) so that she is at home when her kids are back from school. This is an example of a. Flextime b. Part-time c. Compressed work week d. Telecommuting 243. Ramesh, the Marketing Manager in a large firm meets the Production Manager, Sr. Manager-HR and the VP-Operations almost every day in the officers’ club. Some topic or the other, related to their organization and business comes up for discussion. This is an example of a. Formal organization b. Informal organization c. Conference d. Rumors 248. HR Manager, Pavithra, arranges training programs and coordinates with different departments to conduct the same. She plays the role of a __________ in this case. a. Specialist b. Facilitator c. Change agent d. Controller se O nl y Cl as s of 20 1 0 241. Sameer, a fresh chemical engineer has been provided training in a simulated work environment using the same equipment and materials that he would be using on the job. This training is termed a. Case exercise b. Computer modelling c. In-basket training d. Vestibule training Fo rI BS U 244. Sarita left her job as a receptionist as she was not happy with the job profile and wanted a more challenging job that would suit her qualification. Her leaving the organization is termed a. Layoff b. Outplacement c. Attrition d. Loaning 245. One of the reasons for over-staffing in the government and the public sector enterprises is a. Minimal turnover rates b. Long-term planning c. Continuous assessment d. Highly qualified employees 249. Raghavan, Manager in the ER division of the HR department in a large firm ensures that the production, engineering and other departments comply with the statutory requirements of the contract labor laws. He plays the role of a a. Specialist b. Facilitator c. Change agent d. Controller 250. Radiant Recordings is a small 8-year old company employing around 40 people. The company wants to forecast its manpower requirements for the next 2-3 years. It can rely on a. Time series analysis b. Regression analysis c. Past experience d. Delphi technique 27
  30. 30. Introduction to Human Resource Management Key 1. d 2. a 3. b 4. a 5. b 6. b 7. a 8. d 9. c 10. a 13. a 14. b 15. c 16. d 17. a 18. a 19. b 20. b 21. a 22. a 23. c 24. d 25. c 26. a 27. b 28. b 29. a 30. d 31. a 32. c 33. d 34. a 35. d 36. a 37. b 38. d 39. a 41. c 42. b 43. b 44. a 45. b 46. b 47. a 48. a 49. b 50. a 51. d 52. b 53. d 54. d 55. a 56. d 57. d 58. a 59. b 60. d 61. a 62. d 63. b 64. a 65. d 66. a 67. a 68. a 69. b 70. c 71. d 72. b 73. d 74. c 75. d 76. c 77. a 78. b 79. c 80. d 81. c 82. d 83. c 84. a 91. d 92. d 93. b 94. d 101. b 102. d 103. c 104. d 111. b 112. a 113. d 121. c 122. a 131. c 132. a of 20 1 Cl as s 87. a 88. c 89. d 90. b 95. d 96. d 97. c 98. a 99. a 100. d 105. a 106. b 107. c 108. c 109. d 110. a 114. d 115. c 116. b 117. b 118. d 119. b 120. d 124. d 125. b 126. b 127. d 128. c 129. a 130. b 133. b 134. b 135. b 136. c 137. a 138. a 139. a 140. b 143. b 144. c 145. b 146. c 147. d 148. c 149. d 150. b O nl y 86. a 123. a 152. d U 151. a 40. a 85. b se 141. b 142. a 0 11. b 12. d 153. b 154. c 155. d 156. b 157. a 158. b 159. d 160. a 162. b 163. a 164. c 165. c 166. a 167. c 168. b 169. d 170. a 171. c 172. c 173. b 174. c 175. c 176. b 177. c 178. a 179. b 180. c BS 161. c 183. d 184. b 185. c 186. d 187. b 188. a 189. b 190. d 191. c 192. c 193. b 194. c 195. a 196. c 197. d 198. b 199. b 200. c 201. d 202. b 203. c 204. a 205. a 206. b 207. d 208. c 209. b 210. b 211. b 212. b 213. c 214. d 215. c 216. d 217. a 218. b 219. a 220. a 221. b 222. c 223. d 224. b 225. a 226. b 227. b 228. a 229. a 230. b 232. a 233. c 234. d 235. a 236. b 237. c 238. a 239. c 240. a 241. d 242. b 28 182. a 231. a Fo rI 181. c 243. b 244. c 245. a 246. c 247. b 248. b 249. d 250. c
  31. 31. Cl as s of 20 1 0 Part B: Caselets Fo rI BS U se O nl y The caselets in this section are designed to encourage students to apply theoretical concepts to various business situations. Analyzing these cases requires not only theoretical knowledge, but also a comprehensive understanding of the business environment. These cases test the student’s reasoning and comprehension skills.
  32. 32. Part B: Caselets Caselet 1 of 20 1 0 Sushma Sharma was excited about her first job at Aarohan, an established software development firm. Having completed her masters degree in computer applications, Sharma attended the initial selection process at Aarohan. She was quite impressed with the way she was treated all through the selection procedure. She was therefore glad to have received the offer letter for the position of junior programmer in the firm. She was to report at the regional office to attend the Welcome to Aarohan program by 9am the following Monday. Cl as s Sharma was among the ten new members recruited by Aarohan for the positions of junior and senior programmers. Once she reached the premises of the office, Sharma was pleased to be welcomed by the HR manager himself, who directed her to the conference room. The Welcome to Aarohan program started as scheduled. It began with a brief introduction of the company by the HR manager, Sreekanth Reddy. nl y Reddy introduced the team to the history of the company, its founders, the values and culture it upheld, the expectations of the organization, the basic norms to be followed, the key personnel in the organization, and gave a brief insight into its various procedures and processes. Reddy also talked about the company’s vision, mission, and objectives and the way it intended to achieve them. He also briefed them about the role each one of them had to play in order to accomplish the objectives of the organization. This helped the team members along with Sharma, understand the organization and their responsibilities and roles in it. Fo rI BS U se O Sharma, along with the rest of the team was trained in soft skills, basic system skills of the company and other technical aspects of her job as well. Reddy also spoke about the intranet at Aarohan which was meant to be used by the organizational members to interact with each other. They were given their e-mail ids. Each of them was provided with all the necessary office equipment like the PC, telephone, internet, and other accessories required to perform their jobs, once they reached their workstations. Reddy then introduced the incumbents to their respective supervisors and other team members. Each incumbent was given a mentor who was supposed to help him/her during his/her association with the organization. Sharma found her mentor to be an extremely approachable and friendly person from whom she could take help and support. After this, Sharma, like the rest of the group had to complete a project that was very helpful in understanding the job procedures and systems. This project required coordination and cooperation among all the members of the team. At the end of the project, Sharma and other incumbents were asked to make a power point presentation of their projects and their understanding of the organization as a whole. They were also encouraged to discuss their experiences while working on the project, with the rest of the team. These presentations and the discussions that followed helped the incumbents understand the culture of the organization better. At the end of the 15-day Welcome to Aarohan program, a feedback was taken from the incumbents about their perceptions of the organization, its systems, procedures, culture, etc. The feedback was also intended to elicit information from the new employees about their personal goals and objectives and how they would contribute to the growth of the organization. The incumbents were given complimentary gifts on the last day of the program.
  33. 33. Introduction to Human Resource Management The program left a pleasant feeling among the incumbents as they were made to feel important during the initial days itself. Sharma could now evaluate her ‘fit’ into the organizational culture and the work processes. She could now judge her skills and abilities that would help her perform well and identify the areas for her improvement. of 20 1 0 Thus, Aarohan conducted an effective socialization process called the Welcome to Aarohan program that aimed at familiarizing the incumbents with the culture, values, norms and procedures of the organization. This in turn, helped Aarohan in developing a workforce that understood the organizational objectives and their role in achieving them. Questions for Discussion: 1. Discuss the significance of Welcome to Aarohan program in the present case, in developing a knowledgeable and committed workforce that worked towards the accomplishment of organizational goals and objectives. 2. Citing the example of Welcome to Aarohan, describe a model for an effective socialization process in an organization. Cl as s Caselet 2 nl y Ecstatic Automobiles (Ecstatic) is a large manufacturer of two-wheelers, known for its innovation in designing vehicles that never failed to attract customers. This led the company to become the market leader within 10 years of its inception. However, a recent change in the top management saw the value of its stocks dipping, and its sales reached an all-time low. This was a serious cause for concern to the management, which probed into the reasons for such a dismal performance. The study revealed that two consecutive ventures in new model introduction had failed miserably in the market. Fo rI BS U se O The chief engineer, Rakesh Iyer, was called for, to attend a meeting with the CEO and the Managing Director, Ravi Ganesh. When asked for an explanation, Iyer explained that the decreasing morale and motivation of design engineers was the main reason for the low quality performance of the department. “Why don’t we motivate them by doling out more incentives and bonuses for better performance?” asked Ganesh. In reply, Iyer said that no amount of incentives or bonuses succeeded in enhancing their morale and motivation. “Nothing seems to boost their motivation and productivity levels,” said Iyer with a concerned voice. To this, Ganesh offered, “Then let me first talk to your team and then we shall decide the plan of action.” After discussing a few other issues, Ganesh informed Iyer that he would have a meeting with all the members of the engineering department the following Monday. Iyer then left the room. It was Monday morning, and every member of the design & engineering department assembled in the conference room. Ganesh had a free and open interaction with the entire department and emphasized the role they played in bringing the company to the top position. He then talked about the deteriorating performance of the design engineers in the recent past. “It has been observed that the design team, which has been instrumental in bringing the company so many laurels and unparalleled success, is now not contributing its mite towards the company’s profitability,” said Ganesh with a concerned voice. He then discussed with the team, the problems being faced by the members in their day-to-day activities. This discussion led to the conclusion that it was the monotonous nature of the job that demotivated the design engineers. They wanted more autonomy and freedom in their jobs. Lack of freedom in their jobs led to a demotivated group of design engineers in the organization, which in turn, affected the productivity and profitability of the firm. It was therefore decided that the design engineers would be given more autonomy in 32
  34. 34. Part B their jobs in terms of running their projects, selecting outside consultants, etc. The management also decided that representatives from the design team would be present during the selection process for new employees in the department. As a result, the design team now had the autonomy to decide the projects they would work on, how they would go about it, and the composition of the team. After these changes were implemented in the department, the design team showed substantial improvement in their performance. of 20 1 0 The next two models of the sports bike launched by the company were a hit in the market and the company registered a record profit, which was around 40% more than the previous year’s. The job enrichment effort thus resulted in increased productivity among its employees. This initiative also enhanced the morale and motivation levels of the engineering department. It was evident from the fact that within a short span of 8 months, three other models were also ready for production. Iyer too, was extremely satisfied with the performance of his team members. Question for Discussion: Cl as s Having experienced this unprecedented rate of success of the organization through the process of job enrichment, the management decided to extend this concept to the rest of the departments as well. As expected, the other departments also produced similar results and recorded huge profits for the organization. Thus, Ecstatic is an organizational example for the success of job enrichment method of job re-design. Ecstatic Automobiles had benefitted immensely by introducing the concept of job enrichment, not only in terms of increased productivity levels but also in the form of enhanced employee morale and motivation. Discuss the ways in which modern organizations like Ecstatic are being benefitted by enriching the jobs of their employees. 2. Discuss the variety of ways in which organizations can enrich the jobs of their employees. O nl y 1. Caselet 3 Fo rI BS U se Esteem Enterprises (Esteem), is a leading producer of computer hardware equipment in the industry. In an interview with a national daily, the company’s CEO stated that the secret behind the success of Esteem was its ability to adapt to changes in the environment. This adaptability was possible due to an ongoing succession planning process that takes place through out the year. Named “Leadership Development Program,”(LDP), the succession planning at Esteem aims at creating and developing strong leadership, that is capable of addressing all the skills and competencies required to face the challenges posed by today’s dynamic business environment. The LDP strives towards attaining organizational excellence through its talented workforce. The LDP was the brainchild of the CEO of Esteem, Shivraj Dixit, who felt that the organization must be ready to face any eventuality or crisis at any point of time. Dixit strongly believed that the organization must not be dependent on a single individual or a group of individuals for its development. On the other hand, it must nurture a number of leaders who will lead the firm towards the accomplishment of organizational goals and objectives. The LDP followed a simple but continuous process that aimed at developing necessary skills and competencies among its employees that would help the organization meet the present and future demands of the ever-changing external environment. The LDP is headed by a group of experienced employees from the top management. They first identify the existing competencies of the employees and key 33
  35. 35. Introduction to Human Resource Management of 20 1 0 personnel in the company and compare them with the requirements of the industry it competes in. Through a series of evaluation processes, the team assesses the training needs of the existing employees, which help in achieving the organizational goals. The team then plans for the implementation of the necessary training, mentoring or coaching sessions to enhance the skills and competencies of employees to meet the organizational objectives. The team at this stage also considers the probability of having to recruit people from outside the company, in order to meet the future needs of the organization. The LDP then drafts a plan of action for the next three months. It uses succession planning applications like the human resource information systems (HRIS) that provide the firm with an insight into its future requirements. Since Esteem is a large organization, the use of such applications proves to be very beneficial to the organization. Esteem also took the support and assistance of an external recruiting consultant to provide the right personnel to the firm at the right time. This became necessary when there was a dearth of internal talent among the existing employees. It provided Esteem the additional benefit of focussing on strategic issues in human resource management. Questions for Discussion: Cl as s Thus, with the top management investing sufficient time and resources on succession planning, Esteem’s LDP was successful in being able to provide just the right kind of people not just for the present, but for the future as well. The succession planning program at Esteem is thus a constant and ongoing process that prepares the company to handle even unforeseen challenges and eventualities. Discuss in brief, the various phases in the succession planning process at Esteem, that helped it to become one of the top manufacturing companies in an industry that was sensitive and adaptive to the dynamic business environment. 2. Discuss the elements of an effective succession planning program that helps an organization prepare itself to meet its goals and objectives, through constant availability of talented human resources. O nl y 1. se Caselet 4 Fo rI BS U Integrated Solutions was a growing organization in the telecom industry. Its phenomenal growth in the recent past led to a huge manpower requirement in the company. Recruiting the required resources was a challenging task for the HR department as there was a dearth of talent in human resources in the market with too many companies vying for the same talent. The CEO of the company called for a meeting of all the heads of departments to discuss ways in which the manpower requirement could be met. The CEO invited suggestions about innovative ways of recruiting top talent in the industry. 34 Anupama Roy, the HR manager had a point to make. She said, “This is a difficult task for us, as most of the openings in the company are in the middle and top managerial positions, for which we require experienced personnel. Unfortunately, most of them will be already employed and busy in their jobs. So, our job now is to attract this group of passive job-seekers.” At this point, one of the project leaders raised a doubt, “In such a competitive business scenario, how successful will we be in attracting the attention of skilled employees?” The CEO agreed and so did Roy. “Perhaps, we could conduct a study to identify ways of capturing this potential group of candidates,” suggested Roy. It was then decided that a team of members from the HR department will study the way employees in organizations sought for new opportunities in the job market.
  36. 36. Part B of 20 1 0 Accordingly, a team of three members headed by Amit Bajaj set out to study ways in which passive job-seekers could be attracted. The survey conducted by Bajaj and his team dealt with issues like how the potential job seekers in the industry spent their free time, the web-sites they visited, their intentions of seeking a new job, their satisfaction levels in their present jobs, their expectations about an ideal work environment, etc. After a week, Bajaj was ready with the report and presented it in a meeting, which was also attended by the CEO, the HR manager and the Systems manager. The report found that a person already possessing a job would approach another organization if invited by a friend or associate working for the same organization. The report also brought to light, the fact that people desist seeking new opportunities elsewhere because of the long time wasted during the entire hiring cycle. Based on the above report, Roy, in consultation with the CEO, Systems manager and Bajaj, drafted the following plan of action: Integrated Solutions initiated a new scheme called, ‘Invite a friend,’ based on the finding that people approach organizations when advised by acquaintances already working for those firms. Accordingly, the Invite a friend scheme was introduced to encourage employees to bring in potential candidates from among friends and acquaintances for the various positions available in the organization. In case the candidate got selected, the employee who referred him/her would be rewarded. Within a year of its introduction, it was found that around 40%-50% of the new employees were recruited through this scheme. • The company also hired in-house head hunters who were completely devoted to the process of hiring talented people. This reduced the cycle time involved during the entire hiring procedure, which in turn attracted potential candidates. • Integrated solutions linked their corporate web-site to the sites that are more likely to be visited by a maximum number of potential candidates. This increased the number of hits by job-seekers to their web-site. This in turn, helped attract passive job-seekers. • The organizational members mingled with people belonging to other companies at various social gatherings and festivals and talked positively about Integrated Solutions. se O nl y Cl as s • Fo rI BS U Thus, the innovative ways of recruitment at Integrated Solutions helped the firm attract nearly 10% of the top talent in the industry. They also helped reduce the costs involved in the hiring process to a substantial extent. Soon, the company gained a strong competitive edge over its rivals in the industry through the strength of its human capital. This reinforced the belief that if an organization can manage to get the best talent present in the industry and succeed in retaining it, then it would remain the leader in the industry, merely on the strength of its human resources. Questions for Discussion: 1. Integrated Solutions initiated a number of steps to attract the top talent in the industry as discussed in the case. Briefly describe the factors that are to be considered by the company before framing its recruitment policy. 2. Evaluate the success of the recruitment process initiated by Integrated Solutions. Caselet 5 Digital Electronics (Digital) was established twenty years ago by Ramprasad Goud. The mission of this manufacturer of consumer electronic goods was to produce high quality, innovative products at the lowest possible costs, that catered to the ever changing needs of its customers. The organizational structure at Digital was 35
  37. 37. Introduction to Human Resource Management characterized by a tall hierarchy with a number of managerial levels between the shop floor executives and the CEO. The leadership style that prevailed in the company was the autocratic form, wherein employees were seldom involved in the organization’s decision-making process. All crucial decisions were made by the top management and merely conveyed to employees at the lower rung of the organizational structure. of 20 1 0 Though Digital had been performing well in the industry, its profitability levels and market share were gradually dwindling. This was a serious cause for concern to the CEO, Goud, who invited top level managers to give their suggestions, to tackle this problem. A discussion that followed during the meeting identified the deteriorating quality of their products coupled with lack of innovation (especially during the recent past) as the main reason for the low demand for their products in the market. Mohan Das, the Director HR, blamed the organizational structure for the depressing innovative spirit among its employees, which in turn, hit the sales. He suggested that Digital introduce the concept of self-managed teams (SMTs) to overcome this crisis. By providing enhanced responsibility and authority to a group of individuals through SMTs, Digital might enhance employee commitment which would result in improved quality of goods and in the productivity and efficiency of the workers. Cl as s The whole team was taken aback for a moment, when they heard the proposal of Das. Goud himself felt that the bureaucratic culture at Digital might not encourage the implementation of SMTs. “Besides, there are other issues that have to be dealt with, to ensure success of the SMTs,” said Goud. Das then pointed out recent organizational examples which had benefited by implementing the concept of SMTs. One of the examples was that of a reputed telecom company that had witnessed a 26% increase in its sales after the introduction of SMTs in its sales force. U se O nl y Though the management was not much convinced about the proposal, it decided to introduce SMTs in its production and R&D departments. After a careful analysis of the organizational culture and the benefits likely to be accrued to the organization through its new initiative, Das implemented the concept of SMTs in both the departments. Although Digital faced a few problems during the initial stages, it began reaping the benefits of improved productivity and greater innovation among its employees. Soon, the sales figures picked up and the company recorded huge profits and increased market share. Having realized the potential benefits of SMTs, Digital extended the concept to other departments as well. Thus, by introducing self-managed teams in the organization, Digital Electronics not only experienced a rise in its profitability and market share, but also reaped the benefits of a motivated and a committed workforce. BS Questions for Discussion: Fo rI 1. Mohan Das carefully analyzed the organizational culture at Digital before deciding to implement the concept of SMTs. Discuss the various cultural issues that might have cropped up during the implementation of SMTs at Digital Electronics. 2. Briefly describe the characteristics of self-managed teams and the benefits that are likely to accrue to the organizations which implement them. Caselet 6 Softpro Technologies was a 35-year old manufacturer of computer accessories. With an initial manpower of 80 people, Softpro grew into an established organization with 8000 employees working for it. The founder of Softpro, Bhanu Murthy, opted for a bureaucratic and tall hierarchical structure so as to have a direct control over the various operations of the organization. This centralized structure however, had its own 36
  38. 38. Part B drawbacks. There was no direct communication between the top management and the lowest cadre in the organization. The tall structure prevented quick decision-making regarding new initiatives or proposals like new product development. This in turn, made it difficult for Softpro to adapt to changes in the external environment, thereby making it less competitive in the extremely dynamic business environment. The everincreasing size of the organization also made effective supervision impossible. of 20 1 0 In response to the dipping profits and deteriorating employee morale, Murthy decided to decentralize its structure. Accordingly, he divided the organization into a number of divisions. Each division was in charge of a group of related products. The division was made on the basis of the product group. In other words, as the number of product groups/lines increased, the number of divisions increased as well. Each division had its own sales department which took care of marketing its products. Murthy felt that this structure would give each division considerable autonomy, and create an environment that nurtures and encourages individual creativity and initiative. This in turn, would result in a motivated workforce. By decentralizing its operations, Softpro intended to retain the kind of intimacy and ease of communication that once existed when it was very young. Cl as s However, with the increasing size of operations and the growing number of product lines, the decentralized structure at Softpro, began creating new problems for the company. As the number of divisions increased, coordination between them got reduced. This created an impression among customers that each of them was a different organization. It also affected decision-making at Softpro. Bureaucracy crept into the organization again and had a negative impact on its profitability. Softpro soon began losing its market share. U se O nl y Murthy stepped down and invited a dynamic successor, Kailash Nath to lead the organization. Nath was a famous personality in the corporate world, known to have turned around many companies. After studying the organizational structure and the culture at Softpro, Nath proposed to dismantle the decentralized structure. He organized the numerous divisions into six centralized groups which concentrated on two main activities – product development, and sales and marketing. Nath expected the new structure to strengthen collaboration and communication between the two groups, thereby catering to the needs of the customers and solving their problems. Thus the division of the back-end and front-end activities helped Softpro solve a number of its long-standing problems. With clear lines of responsibilities, the R&D strategy of the product development division resulted in filing more patents that year compared to those filed during the previous years. Fo rI BS However, a lack of coordination between the two groups began creating a new set of problems for Softpro. Ineffective communication between the two groups and the lack of authority to the back-end managers to set sales forecast, resulted in the R&D department not being able to allocate funds accordingly. At the same time, front-end sales representatives faced problems meeting their forecast as back-end colleagues came up with the wrong products. This was because back-end designers were not able to stay close enough to the customers to deliver products as per their requirements (and there was no proper communication between the front-end and back-end sales representatives). Thus, despite the efforts of the management at Softpro to strike a balance between a centralized and a decentralized organizational structure, the company continued to face problems due to the size and complexity of the organization. Questions for Discussion: 1. Examine the restructuring plan put in by Kailash Nath and critically comment on the advantages and disadvantages accrued to Softpro. 2. In the light of the above case, discuss the kind of organizational structure that emerges successful in this dynamic business environment. 37
  39. 39. Introduction to Human Resource Management Caselet 7 Goutham Ghosh was a regular customer of APN Bank Ltd., a public sector bank that was established forty years ago. The bank has been doing well, in terms of its market share and profitability in the region. However, Ghosh had a bitter experience with the bank when he visited one of its busiest branches recently. of 20 1 0 Ghosh saw an unending queue at almost all the teller counters. There were about 25 customers waiting at the cash counter for their transactions, while the teller counter executive was attending to a call over the telephone for more than fifteen minutes, without attending to the waiting customers. It was only after the assistant manager’s instruction that the executive hung the telephone and attended to the customer. One of the customers then requested that he be given notes of a higher denomination as the amount was huge. His request was turned down with a curt, “We do not hold higher denomination right now. If you insist, come after three hours, we would exchange them.” The plight of customers waiting for other banking transactions was no better. nl y Cl as s While a demand draft had to be processed within ten minutes of application, it took nearly half-an-hour for an elderly person to finally collect the draft. The customer was given no explanation for the delay. In fact, even at the account opening counter, bank executives were seen behaving impolitely with prospective customers who wished to open accounts with the bank. Ghosh observed that the teller counter executive responsible for account opening transactions refused to help an applicant in filling up the complicated application form. “Get the application filled and we shall go ahead with the process,” she sneered. Once the customer filled the form and submitted it to the executive, with a frown on her face, she said, “Your application cannot be accepted as it is not filled in black ink.” The disgusted customer just placed the form on her table and walked away. U se O Ghosh himself had approached the bank to purchase a tax-relief bond. He found it agonizing to wait for more than twenty minutes to get hold of the executive concerned. And even after she finally attended to him, she could not listen to his queries as she was constantly being interrupted by phone calls and other customers who had been waiting for her. “Can you tell me where the cash counter is?” inquired one customer. “I do not know,” came the reply from the executive. This irritated the customer and he began shouting at the executive, blaming her for bad customer service. Fo rI BS People who had come to the bank for various other services like home loans, credit cards, Demat transactions etc., also had similar experiences to share. Ghosh brought this to the notice of the branch manager, who happened to be his old-time friend. The branch manager apologized for the behavior of his team and promised Ghosh that he would look into the matter seriously. 38 The branch manager was in a fix. If this attitude of his employees continued, the bank would soon lose valuable customers. The manager called for a meeting of all his staff members. He expressed concern over the behavior of teller counter executives and explained that customers must be greeted with a smile and treated well. He emphasized exceptional customer service that would create a competitive advantage for the bank. The members of the bank reacted negatively to this. “Well, all this was not mentioned in our job description,” countered one of the executives. This was strongly supported by his colleagues. “You cannot impose new rules each day, and it is anyway not possible to smile and oblige customers amidst all the chaos,” said another. The meeting ended on a negative note, creating ill-will between the manager and the staff.

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