AKGIM/EXM/FM/03

Ajay Kumar Garg Institute of Management, Ghaziabad

Model Solution UT

Course: MBA Semester: I

Session: 2021-22 Section: A, B
Subject: Management concepts & OB Sub. Code: KMBN101
Max Marks: 100 Time: 3 Hours

Section A

Q No. 1
a. What do you mean by term Managers.
Ans. A manager is a person who is responsible for a part of a company, i.e., they ‘manage‘ the
company. Managers may be in charge of a department and the people who work in it. In some
cases, the manager is in charge of the whole business. For example, a ‘restaurant manager’ is in
charge of the whole restaurant.
A manager is a person who exercises managerial functions primarily. They should have the
power to hire, fire, discipline, do performance appraisals, and monitor attendance. They should
also have the power to approve overtime, and authorize vacations. The Manager’s duties also
include managing employees or a section of the company on a day-to-day basis.

b. Explain the functions of Manager in an organization.

Ans. The functions of managers may be broadly classified into five categories:
Planning Planning is the process of deciding in advance what is to be done, when and where it is
to be done, how it is to be done and by whom,
Organizing Organising is concerned with the arrangement of an organisation’s resources –
people, materials, technology and finance in order to achieve enterprise objectives.
Staffing Staffing is the function of employing suitable persons for the enterprise.
Leading and Influencing (Directing) Leading is stimulating people to be high performers. It
includes motivating and communicating with employees, individually and in groups.
Controlling In controlling, performances are observed, measured and compared with what had
been planned. If the measured performance is found wanting, the manager must find reasons and
take corrective actions.

c. Define the term staffing.

Ans. The managerial function of staffing involves manning the organization structure through
proper and effective selection, appraisal and development of the personnels to fill the roles
assigned to the employers/workforce. According to Theo Haimann, “Staffing pertains to
recruitment, selection, development and compensation of subordinates.”

d. What do you understand by the term Directing?

Ans. Directing is said to be a process in which the managers instruct, guide and oversee the
performance of the workers to achieve predetermined goals. Directing is the heart of management
function. All other functions of management such as planning, organizing, and staffing have no
importance without directing. Leadership, motivation, supervision, communication are various

aspects of directing.

e. What do you mean by the term Covert Behaviour?

Ans. Covert behaviour refers to human behaviour that cannot be observed. Mental processes
such as thinking, reasoning, dreaming, retrieving memories etc. are covert behaviours. In
addition, these cannot be seen or heard by anyone.

f. What do you mean by ABC model of Attitude?

Ans. Every attitude has three components that are represented in what is called the ABC
model of attitudes:
Affective component: Affective component of attitude is related to person’s feelings about
another person, which may be positive, negative or neutral.Behavioural component:
Behavioural component of attitude is related to impact of various situations or objects that lead
to individual’s behaviour based on cognitive and affective components.
Cognitive component deals with thinking, evaluation, comparison, rational, logical issues with
respect to the targeted object.
g. How Non Financial Rewards helps to motivate employees?
Ans. When clearly communicated, non financial incentives motivate employees and let them
know what they stand to gain or lose based on their performance. This type of incentive is
tangible for the employee, allowing them to better provide for their families and materially
improve their life outside of work.

h. What do you mean by Personal Effectiveness?

Ans. Personal Effectiveness is a measure of the ability of a task to produce a specific desired
effect or result that can be qualitatively measured. Effectiveness means that you determine
exactly what you want to do . In effectiveness the end point is fixed ,and it is a matter of steadily
improving the process of getting.

i. What are the traits of a Good Leader?

Ans. The traits of a Good Leader includes-
 Integrity.
 Ability to delegate.
 Communication.
 Self-awareness.
 Gratitude.
 Learning agility.
 Influence.
 Empathy.

j. What do you mean by Organizational Change?

Ans. Organizational change refers to the actions in which a company or business alters a
major component of its organization, such as its culture, the underlying technologies or
infrastructure it uses to operate, or its internal processes.
Organizational change is a business necessity. Employees leave, and new employees are hired,
new teams and departments are created as the company grows, and businesses adopt new
technology to stay ahead of the curve.
 Section B -Case Study
Ans. Situation Analysis: The case is about the laeding style of the owner in the company Jindal
Machine Parts. Aarohi had inherited the business three years ago when her father, Shiv Jindal,
passed away unexpectedy. Jindal Machine Parts was founded four decades ago by Shiv and had
following grown into a moderate-size corporation . Although Aarohi grew up in the family
business, she never understood her father's approach. Shiv had treated his employees like part of
his family. In Aarohi’s view, however, he paid them more than he had to, asked their advice far
more often than he should have, and spent too much time listening to their ideas and complaints.
When Aarohi took over, she vowed to change how things were done.Her father was using the
democratic style of managing the people but she changed it to the autocratic style of managing
the employees which adversely impacted the performance of the employees in the Company.
Aarohi wanted to meet the challenge of International competition but her philosophy to mange
theemployees was altogether different from her father’s approach. She was not in favour of
giving any idle time, incentives, exyra facilities and benefits to the employees . She was treating
the employees as like the Humanized Robots and as shuct there was a sharp decline in the profits
of the company.Performance reports indicated that output was only marginally higher than
before but scrap rates had soared. Payroll costs were indeed lower, but other personnel costs
were up. It seemed that turnover had increased substantially and training costs had gone up as a
result.
Formulation of the Problem: Emplyee Dissatisfaction with the current leading style of the
Management.

Q2. Apply the strategy that would be successful for Aarohi Jindal’s new plan?
Ans.I think Aarohi’s new plan will not be successful as she was following the bureaucratic
approach. As according to the facts given in the case her attitude towards the employees was
very strict. She totally changed the approach of her father while treating the employees.
In today’s competitive environment, it is very tough for managers to follow hard approach for
the employees. To make the employees more productive, it is the responsibility of the owners to
be production centred as well as employee centred.
In the given case although Aarohi was enthusiastic towards increase in the production but she
closed all the doors for employee motivation.
She was bureaucratic in her approach which is unsuitable to quickly changing and highly
demanding features of contemporary organizations as this type of management is
synonymous to red tape and it represents dozens of negative effects such as rigidity,
alienation, and low commitment .
If Aarohi want to get success in her plan, she has to change her approach of bureaucratic
management style. To motivate the employees, Aarohi should make the plans in
consultation with the employees and should include good number of incentives for the
employees that will be given to them as a reward if they will succeed in achieving the
targets.
As it is also clarified by the concept of Managerial Grid which was propounded By Blake and
Mouton, that team perspective is the best route for the success of the leaders. A good leader not
only gives the importance to task but equally assures the prosperity of the employees
associated.With the team spirit, Aarohi can bypass all the challenges and can successfully
accomplish organizational objectives.

Q3.Analyze the Challenges does Aarohi confront?

Ans. Aarohi tried to accomplish success on the cost of satisfaction of the employees. This one is
the biggest challenge for Aarohi.
She wanted to meet the challenge of international competition. Japanese firms had moved
aggressively into the market for heavy industrial equipment. It was both a threat and an
opportunity for Bowers Machine Parts. On the one hand, if she could get a toehold as a parts
supplier to these firms, Bowers could grow rapidly. On the other, the lucrative parts market was
also sure to attract more Japanese competitors. Helen had to make sure that Bowers could
compete effectively with highly productive and profitable Japanese firms.

Q4. Evaluate the advice you would give as a consultant to Aarohi in detail.
Ans. Solution- (Hint)
After analyzing the facts of the case I would like to advise Aarohi ,not to go with the
bureaucratic approach.
She was treating the employees of her organization as like the Humanized Robots. In today’s
dynamic environment where there is a competition at every tread ,Good companies look for
talent, the crème de la crème – those who are not only the toppers but are the real thinkers,
innovators, creators, imaginators etc.It is very difficult for the organizations to retain talent in the
present globalized scenario.
If Aarohi will continue with her rigid approach towards the employees she may loose the
committed workforce . Aarohi should go with the team perspective.
As it is also clarified by the concept of Managerial Grid which was propounded By Blake and
Mouton, that team perspective is the best route for the success of the leaders. A good leader not
only gives the importance to task but equally assures the prosperity of the employees
associated.With the team spirit, Aarohi can bypass all the challenges and can successfully
accomplish organizational objectives.

Section C

Q5. Apply the process of planning to handle the Covid 19 problem in detail.
Ans. More than two years since the first SARS-CoV-2 infections were reported, the COVID-19
pandemic remains an acute global emergency. In this Crisis situation there is a need to make a
plan full of Strategic Preparedness, Readiness and Response .
While palnning in the Crisis situation, it may follow all the steps that are used in normal planning
for business houses .

The planning to handle the crisis situations like Pandemic must be flexible enough and should
be prepared with various alternatives and back ups including the key strategic adjustments that, if
implemented rapidly and consistently at national, regional, and global levels, will enable the
world to end the acute phase of the pandemic.

The process of planning to handle the Covid 19 problem may involve the following steps:

1. Analyzing Environment
While planning, the internal and external environment is analyzed in order to identify company's
strengths and weaknesses (in internal environment) and opportunities and threats (existing int the
external environment). This is also known as SWOT (strengths, weaknesses, opportunities and
threats) analysis. To handle the situation of Covid 19 , it is must for any company to analyze the
environment keeping in mind the threats and opportunities prevailing in the pandemic situation.

2. Establishing Objectives Or Goals

In the light of the environmental scanning (study), clear or probable opportunities that can be
availed are identified. In order to avail them, objectives or goals are clearly defined in specific
term along with priorities in all the key areas of operations. For example in the Covid 19
situation the objective of the company should be set taking into consideration the need of the
situation. The goals of the organization must include the elements of full support to the whole
society.

3. Seeking Necessary Information

It is must to collect all relevant facts and data from internal and external sources. For example,
availability of supplies, physical and human resources of the company, finances at disposal,
relevant government policy, general economic conditions and relevant specific market situation

4. Premising Or Establishing the Planning Premises

In order to develop consistent and coordinated plans, it is necessary that planning is based upon
carefully considered assumptions and predictions. Such assumptions and predictions are known
as planning premises. To handle the situation of Covid 19, it is best for the company to make the
assumption based on concrete information.

5. Identifying and Developing Alternative Courses of Action

After establishing objectives or goals and taking other related steps, feasible alternative
programmes or courses of action are searched out.The alternatives that suits most to the crisis
situation like Pandemic should be given due consideration and preference.

6. Evaluating the Alternatives

Probable consequences of each alternative course of action in terms of its pros and cons (e.g.
costs, benefits, risks, etc) are assessed and than relative importance of each of them is found out
by looking at their overall individual strengths and limitations especially in the light of the
present objectives and the environment of the company.

7. Choosing the Most Appropriate Alternative Or Course of Action

The alternative which appears to be most feasible and conducive to the accomplishment of
company's predetermined objectives, is chosen as a final plan of action - as strategy.

8. Preparing the Derivative Plans

Derivative plans involve short range, operating plans that are useful in day-to-day operation and
provide a working basis for such operations. Such plans are developed in the form of schedules,
budgets, programmes, procedures, methods, rules, policies etc.
To handle the Covid 19 Crisis, the companies should make the plans which are adjustable
according to the need of the situation . In last two years we have observed frequent changes in
the Government policies, rules and regulations. So, the companies dealing in product or services
are required to be pro active and should prepare their plans with the backups and the elements of
flexibility that may enable the companies to fight with the unwanted situations.

Q5. Apply the dimensions of Business Environment during Pandemic on Startups with
examples?
Ans. The rapid and often discontinuous change that is taking place in the environment has a
direct impact on the manner in which businesses are managed. Managers are finding that old
proven recipes for success and specialized routines are no longer effective and are of necessity
adopting new approaches to managing their companies. These changes, both in the environment
and in the organization,also have an impact on the accounting system and accounting function of
organizations. Accountants have to be aware of these changes so that they can adapt accounting
information to meet and even participate the changing demands of users. Thus, new modernized
management approaches are required to be successfully followed in the present competitive
business environment.

Q6. Explain the Whole process of Selection with examples in detail.

Ans. Steps in Selection Procedure-
Reception- A warm, friendly and courteous reception is extended to candidates with a view to
create a favourable impression. Employment possibilities are also communicated honestly and
clearly
Screening Interview- The HR department tries to screen out the obvious misfits through this
courtesy interview. A prescribed application form is given to candidates who are found to be
suitable.
Application blank- It is a printed form completed by job aspirants detailing their educational
background, previous work history and certain personal data.
Selection Tests- A test is a standardized, objective measure of a sample of behaviour. Selection
tests are increasingly used by companies these days because they measure individual differences
in a scientific way, leaving very little room for Individual bias.Example: Intelligence test,
Aptitude test,Personality test,Projective test,Interest test etc.
Selection Interview- Interview is an important source of information about job applicants.
Several types of interviews are used , depending on the nature and importance of the position to
be filled within an organisation.
Medical Examination& Reference Checking- Medical evaluation and reference checking are
routinely undertaken by leading companies these days to learn more about the candidate’s
general health, social behaviour, interpersonal skills, punctuality and honesty etc.
Hiring Decision –After finalizing all the steps ,candidates are hired by the organization

Example: Selection Process for IT Company

In case of IT company selection process must be designed with the utmost care and attention as
IT industry is a service industry whose success is based on the competency of its knowledge
workers. While selecting or hiring the new employees company must give due weightage to the
knowledge, technical skills and innovation and creativity skills of the candidates.

Special care and customization is required in the process while recruiting knowledge
workers
Today, Knowledge workers play a major role in the success of the Organization so therefore
special care and customization is required while recruiting them. Knowledge workers are the
people who are highly qualified and highly educated .They are creative and innovative people.
They have the phenomenol skills. They have the out of box thinking .
So while recruiting the knowledge workers Recruiters should design the whole selection
procedures with several rounds like by conducting simulation games, interviews to check
innovation capabilities.The company should use internal contacts or networking in order to hire
knowledge workers.It commonly happens that when these people have worked for sometime in
one company,they are recognized and noticed for their quality of work by Top level management
of other companies.
While selecting the knowledge workers company must check the passion and commitment level
of the selected workers towards the job. The selection team should not only focus on the skills
and intelligence but also on the persona of the candidate.

Q6. Explain the training methods in detail.

Ans. Training is the formal and systematic modification of behavior through learning which
occurs as a result of education, instruction, development and planned experience.

Methods of Training:There are different methods of giving training to the employees which can
be divided into two broad categories.

1.On-the-Job methods: In these methods, the employees learn about their jobs while doing the
work duly assisted by their supervisors or seniors. These methods encourage self-learning
through practice.
2. Off-the-Job methods: These methods involve training employees away from the work place
so that experts may conduct the training and employees are free from immediate pressure of
completing the jobs at hand.

On the Job Training Methods Include-

1.Job Instructional Technique (JIT): It is a Step by step (structured) on the job training
method in which a suitable trainer (a) prepares a trainee with an overview of the job, its purpose,
and the results desired,

2.Apprenticeship:. Apprenticeship training is an earning while learning arrangement for

a required term. Training occurs under the supervision of an experienced person,an apprentice
receives knowledge and develop skills associated with a designated trade through on the job
training.

3.Job Rotation : The job rotation refers to transfer of managers from one job to another or from
one department to another or from one section to another in a planned manner.

4.Coaching : Coaching is an activity of guiding a manager by a senior one, A senior manager

must play an active role in guiding and teaching skills. He tells him how to do a job and corrects
the errors.
5.Understudy : It is a development technique to prepare a manager for taking over the charge of
his senior after his retirement, transfer, promotion or death. The executive who is understudy acts
as assistant to the superior executive whom he will succeed.

6. Mentoring- Mentoring is often referred to as training by experienced workmen.It is about

teaching and learning.

Off the Job Methods includes-

1.Lectures- The concepts, ideas, theories, principles are explained through lectures. The speaker
is an expert who collects the material and deliver lecture to the trainee executives.

2.Simulation- In this technique a duplicate work situation similar to the actual job situation is
created and the trainee is given a particular role to find out solutions to the problem and take
decision.
3.Case Study : Under this technique the cases based on actual business situations are prepared
and given to the trainee managers for discussion and arriving at a proper decision.

4.Role Play- It is also a simulated exercise. The participations have to assume a role of a person
in the simulated situation.

5.Vestibule Training :. A form of training in which new employees learn the job in a setting
that approximates as closely as is practicable to the actual working environment. An example is
the training of airline pilots in a simulated cockpit.

6.Sensitivity Training : This is the technique of bringing about a change in behavior of the
executives through group process.This technique is also referred to as laboratory training.

7.In Basket Method : Under this method a basket containing various kinds of correspondences
such as reports letters, replies, applications each involving some problems is given to the trainee
and within a specified time limit he has to sort out all the correspondence by passing orders,
recommendations, delegating authority to his subordinates and distributing work etc.

8.Fieldtrip -A fieldtrip or fieldwork is a journey by a group of people to a place away from their
normal environment.

Q7. Apply the concept of Group Cohesiveness within a team for the successful
implementation of Group Goals? How to direct activities to highly cohesive group?

Ans. Group cohesiveness means the degree of attachment of the members to their group. If
group cohesion is high, the interaction between members of the group is high and the degree of
agreement in group opinion is high.
A cohesive group usually has the following features:
i) The members share the group goals and norms and have common interests and backgrounds.
ii) The number of members is small.
iii) The members interact among themselves quite frequently and interpersonal communication is
very effective.
iv) Group loyalty among the members is high because the group enjoys high status.
v) The members stand united against any perceived external threats to the group.
vi) The members keep themselves glued to the group as they feel that their needs would be
satisfied by the group.
vii) The group has a history of past success.
With the Cohesive group,it is easy for the leaders to attain the goals as the members of the team
are attached to their group and as such are highly committed and cooperative to all the team
members . The coordination among the team is high and as such it reduces the chances of
misunderstanding or confusion. Within a team atmosphere, having a cohesive workplace allows
employees to work well together and feel they contribute to the overall success of the group.
When employees are in a cohesive work environment, they focus more on the group goals than
their individual success, becoming motivated by the team's efforts.
How to direct activities to highly cohesive group?
To have an effective coordination and best of the results from the Cohesive group ,a manger may
use the following tips-
1. Encourage Communication
2.Practice team building activities
3.Provide training and development
4.Celebrate success as team effort
5.Focus on building mutual trust
6. Empower members of a team

Q7. Apply the transactional analysis with all the three ego states with respect to
complementary transactions and ulterior transactions in the Organization.
Ans. Transactional analysis is a technique used to help people better understand their own and
others behaviours, especially in interpersonal relationship.
Acc. To Eric Berne “When two or more people interact, there is a social interaction that takes
place in which a person responds to another. The study of these social interactions is called
transaction analysis.”
An Ego State is a consistent pattern of feeling and experience directly related to a corresponding
consistent pattern of behavior. It is a set of related thoughts, feelings, and behaviors in which part
of an individual’s personality is revealed at a given time. Each of our personalities is made up of
various ego states :
The Parent: Parent Ego refers to the personality attributes like value, attitude and behaviour of
parent like people. Parent ego can be of two types.
(a) Nurturing parents: It is is characterized by over protectiveness, helpful, distant, dogmatic,
indispensable and upright parent behaviour.
(b) Critical parents: It is characterized with the behaviour, which is strict usually quotes rules,
laws and has great reliance on successful people.
The Adult: Adult Ego is based on reasoning, seeking from subordinates and providing
information. A person having adult ego views people equal, worthy of undertaking any job and
responsible. They behave rationally and think logically.
The Child: Child ego can be perceived by observing an individual who displays physical signs
like silent compliance, attention seeker in certain situations he displays temper, tantrums,
giggling and coyness. The individual thinks non-logical and wants immediate action on various
issues. Child ego is of following types:
(a) Natural Child: Natural child generally displays behavioural pattern which is Affectionate,
Fearful, Self-indulgent and aggressive
(b) Adaptive child: he is psychologically trained in obeying instructions from parents though
not to his liking and does whatever because parents insist to do so. Rebellion, frustration
becomes part of his personality.
Within ego states there are four different types of transaction:
1.Complementary Transactions 2.Crossed Transactions 3.Ulterior Transactions 4.Gallows
Transaction
Complimentary Transactions- A transaction is complementary when the stimulus and response
patterns from one ego state to another are parallel. This is complementary because the stimulus
gets the expected response. There can be nine complementary transactions
Ulterior Transaction: Ulterior transaction is the most complex because the communication has
double meaning. When an ulterior message is sent, it is often disguised in a socially acceptable
way. On the surface level, the communication has a clear adult message, whereas it carries a
hidden message on the psychological level. Ulterior transactions, like blocked transactions, are
undesirable.

Q8. Analyze the whole process of Motivation with example in detail.

Ans. The motivation process progresses through a series of discrete steps. Needs/ motives are the
starting point of motivation. An unsatisfied need creates tension that stimulates drives within the
individual. These drives generate a search behavior to achieve particular goals that will satisfy
the need and lead to a reduction of tension. The action taken by the individual will lead to the
reward/goal which satisfies the need and reduces tension.No matter which theory of
motivation the manager is following, the process is always similar.
The motivation process is presented in the following diagram-

Following steps are used in the process of motivation

1. Identify Unsatisfied Needs and Motives :The first process of motivation involves unsatisfied
needs and motives. Unsatisfied needs activated by internal stimuli such as hunger and thirst.
They can also be activated by external stimuli such as advertisement and window display.

2. Tension :Unsatisfied needs to create tension in the individual. Such tension can be physical,
psychological, and sociological. In this situation, people try to develop objects that will satisfy
their needs.

3. Action to satisfy needs and motives: Such tension creates a strong internal stimulus that calls
for action. The individual engages in activities to satisfy needs and motives for tension reduction.

For this purpose, alternatives are searches and choice are made, the action can be hard work
for earning more money.

4. Goal accomplishment: Action to satisfy needs and motives accomplishes goals. It can be
achieved through reward and punishment. When actions are carried out as per the tensions, then
people are rewarded others are punished. Ultimately goals are accomplished.

5. Feedback: Feedback provides information for revision or improvement or modification of

needs as needed. Depending on how well the goal is accomplished their needs and motives are
modified.

Q8.Analyze the McClelland theory(Achievement Motivation Theory )in detail.

Ans. McClelland's Human Motivation Theory states that every person has one of three main
driving motivators: the needs for achievement, affiliation, or power. These motivators are
not inherent; we develop them through our culture and life experiences
1.Need for Achievement:This refers to the drive to excel, to achieve in relation to a set of
standards and to strive to succeed. People with a high need for achievement are striving for
personal achievement rather than for trappings and rewards of success. They have a desire to do
something better or more efficiently than it has been done before. They prefer jobs that offer
personal responsibility for finding solutions to problems, in which they can, received rapid and
unambiguous feedback on their performance in order to tell whether they are improving or not
and in which they can set moderately challenging goals.

2.Need for Power:This refers to the need to make others behave in a way that they would not
have behaved otherwise. Individuals high in Need for Power enjoy being ‘in-charge’, strive for
influence over others, and prefer to be in competitive and status oriented situations. McClelland
distinguished two types of power – Personal Power and Institutional Power. Individuals high in
personal power like to inspire subordinates and expect that latter to respect and obey them. Such
behaviours gratify their own need for power in a personal sense. Managers, who are high in
institutional power, tend to exert authority and influence so as to achieve the goals of the
organization rather than to gain any personal ego satisfaction. McClelland describes the
institutional power managers as “organization minded” and getting things done in the interest of
the organization. That is, the institutional power manager exercises power in the interests and
welfare of the organization. Institutional power managers are said to be very effective since they
are willing to somewhat sacrifice their own interests for the organization’s overall wellbeing.
McClelland feels that institutional or social power is good for the organization and personal
power is detrimental to the overall interests of the organization.

3.Need for Affiliation:This refers to the desire for friendly and close interpersonal relationships.
Individuals high in Need for Affiliation like to interact with colleagues in the organization. They
have a strong desire for approval and reassurance from others and they are willing to conform to
the norms of groups to which they belong. In effect, they have needs to develop affinity and
warm relationships with people in the work system. Team work, co-operative efforts, and joint
problem-solving sessions, and committee assignments are all suited for those high in Need for
Affiliation.
Q9. Evaluate the term Leadership with the theories namely Charismatic theory and
Leadership Situation Model
Ans. Charismatic leadership:
“Charismatic leadership emphasises primarily the magnetic personality and behaviour of leaders
and their effects on followers, organizations, and society. Sociologists, political historians, and
political scientists have widely accepted the theory of charismatic leadership originally advanced
by Weber (1947). Charisma is regarded as of divine origin or as exemplary, and on the basis of
them the individual concerned is treated as a leader.
Mahatma Gandhi, Jawaharlal Nehru, Indira Gandhi, Lai Bahadur Shashtri, and Mother Teresa
were charismatic leaders. Charismatic leaders inspire via persona, reputation, and
communications and also show courage, competence, and idealistic vision.

Leadership Situation Model

Paul Hersey and Ken Blanchard developed a leadership model that has gained a strong following among
management development specialists

2. Situational leadership is a contingency theory that focuses on the followers.

3. Successful leadership is achieved by selecting the right leadership style, which is contingent on the
level of the followers’ readiness. The term readiness refers to “the extent to which people have the ability
and willingness to accomplish a specific task.”

4. SLT views the leader-follower relationship as analogous to that between a parent and chi

5.Hersey and Blanchard identify four specific leader behaviors—from highly directive to highly laissez-
faire. The most effective behavior depends on a followers’ ability and motivation.

Q9. Evaluate the Term ‘change’ in the light of recent bank mergers with reference to Kurt
Lewin Model.
Ans. In a move to restructure and redefine the country's banking space, in 2021, the government
of India merged 10 Public Sector (PSU) Banks into 4 banks.
A merger is an agreement between entities where they pool in their assets and liabilities and
become one entity. The merger of Public Sector Banks (PSBs) is where the PSBs are merged
with 'anchor' banks. As of today, India has 12 Public Sector Banks, including Bank of Baroda
and State Bank of India.
The merger of the banks was a big change in the whole system of banks functioning and
structuring. If we go with the concept of organizational change, it states that “Change is the only
thing which is constant” and companies and the leaders should be prepared to deal with change
that is rapid and sudden at the same time.Most planned organisational change is triggered by the
need to respond to new challenges or opportunities presented by the external environment, or in
anticipation of the need to cope with potential future problems.
To successfully implement the planned changes ,Kurt Lewin suggests that efforts to bring about
planned change in an organisation should approach change as a multistage process. His model of
planned change is made up of three steps— unfreezing, change, and refreezing
1.Unfreezing is the process by which people become aware of the need for change. This stage is
about getting ready to change. It involves getting to a point of understanding that change is
necessary, and getting ready to move away from our current comfort zone.
This first stage is about preparing ourselves, or others, before the change (and ideally creating a
situation in which we want the change). If people are satisfied with current practices and
procedures, they may have little or no interest in making employees understand the importance
of a change and how their jobs will be affected by it. The employees who will be most affected
by the change must be made aware of why it is needed, which in effect makes them dissatisfied
enough with current operations to be motivated to change.
2.Change itself is the movement from the old way of doing things to a new way. This second
stage occurs as we make the changes that are needed. People are 'unfrozen' and moving towards
a new way of being. Change may entail installing new equipment, restructuring the organisation,
implementing a new performance appraisal system anything that alters existing relationships or
activities.
This is not an easy time as people are learning about the changes and need to be given time to
understand and work with them. Support is really important here and can be in the form of
training, coaching, and expecting mistakes as part of the process.
3.RefreezingAs the name suggests this stage is about establishing stability once the changes
have been made. The changes are accepted and become the new norm. People form new
relationships and become comfortable with their routines. This can take time. makes new
behaviour relatively permanent and resistant to further change. Examples of refreezing
techniques include repeating newly learned skills in a training session and role-playing to teach
how the new skills can be used in a real-life wok situation.
Refreezing is necessary because without it, the old ways of doing things might soon reassert
themselves, while the new ways are forgotten