Philosophical Foundation of Administration 1. What is Comparative Management? Discuss the importance of understanding it in the performance of various administrative functions? Elucidate. ANSWER: Comparative Management identifies, measures, and interprets similarities and differences among managers' behaviors, techniques, and practices as they exist in different countries. It focuses on the similarities and differences between various business and management systems. The overall environment has a significant impact on management behavior. What a manager does in the US, UK, or Nigeria is defined by the fundamental functions of management. However, what is being attempted and the methods used to do it can and do differ amongst countries. This is largely due to managers’ values, beliefs, attitudes, experiences, and customs. IMPORTANCE OF COMPARATIVE MANAGEMENT It helps in explaining, analyzing, and understanding of various social and economic phenomena. It helps in dealing with the differences of management and other differences of various countries and their effect on International Business. Study of comparative management becomes necessary so that managers can easily achieve their individual and organizational goals. The study of comparative management helps in identifying, describing, and predicting the impact of environmental factors on the international business. Comparative management is very useful for trading globally as it allows us to know about various differences and how to remove them from a company's products and services. 2. The Utilitarian Philosophers argue that the government is necessary and it is a source of good and happiness. Agree or Disagree? Defend your answer to be the best of your knowledge. ANSWER: AGREE. Because of the fact that Utilitarian’s believe that the goal of morality is to improve people’s lives by increasing the amount of good things (like pleasure and happiness) and reducing the amount of bad things in the world (such as pain and unhappiness). They reject moral codes and systems that are based of customs, traditions, or orders given by leaders or supernatural beings and consist of commands and taboos. Instead, Utilitarian’s believe that the positive contribution a morality makes to human (and possibly non-human) is what makes it true or justifiable. 3. The Philippine Constitution which is the fundamental law of the land is mandated for the adoption and practice of the democratic ethos. Cite instances to prove that the Philippines is indeed democratic in the right sense of the word. ANSWER: According to The 1987 Constitution of the Republic of the Philippines – Article II Section 1. The Philippines is a democratic and republican State. Sovereignty resides in the people and all government authority emanates from them. Section 2. The Philippines renounces war as an instrument of national policy, adopts the generally accepted principles of international law as part of the law of the land and adheres to the policy of peace, equality, justice, freedom, cooperation, and amity with all nations. Section 3. Civilian authority is, at all times, supreme over the military. The Armed Forces of the Philippines is the protector of the people and the State. Its goal is to secure the sovereignty of the State and the integrity of the national territory. Section 4. The prime duty of the Government is to serve and protect the people. The Government may call upon the people to defend the State and, in the fulfillment thereof, all citizens may be required, under conditions provided by law, to render personal, military or civil service. Section 5. The maintenance of peace and order, the protection of life, liberty, and property, and promotion of the general welfare are essential for the enjoyment by all the people of the blessings of democracy. Section 6. The separation of Church and State shall be inviolable. 4. Do you agree that the democratic governance is indeed for the purpose of advance development? Support your answer. ANSWER: YES. In view of the fact that, in a study of 180 countries over 50 years, Gerring et al. (2005) found that number of years of democratic experience has a positive effect on a nation’s economic growth. These findings shows that a country’s democratic experience has a cumulative effect on economic progress, resulting in a virtuous cycle. When a country stays on a democratic road for a long time, it develops economically, which aids in the consolidation of democracy and, in turn, leads to more economic progress. 5. Maximilian Karl Emil Weber, a German sociologist who is the Father of Bureaucracy, has been the starting point and the main source of inspiration of many students of administration. The characteristics contained in the ideal type correspond more or less, to concrete feature of our existing organization. Identify and explain the main characteristics of bureaucratic type of organization. Can you consider your own organization of this kind? Justify your answer. ANSWER: BUREAUCRACIES HAVE FOUR (4) KEY CHARACTERISTICS Specialization - Everyone in a bureaucracy has a specific job to do and often becomes an expert at it. Bees have specific jobs, too, collecting pollen, making honey, or populating the hive. A division of labor - In a bureaucracy, nearly every task is broken down into its component parts, and different people work on different parts of the task. Together they get the job done, just like bees in a hive who divide their labor for maximum efficiency. A set of formal rules - These so-called standard operating procedures are the clear, written instructions for each specialized job at every level of the hierarchy. Workers who follow them can be sure that they are on the same page as their colleagues and are doing their jobs properly. According to beekeepers, bees, too, have a sophisticated system of communication that keeps their hives running smoothly. A clear hierarchy - Bureaucracies have a firm chain of command. Every worker has his or her own place in the chain, and everyone's work is overseen by someone on the next level up. Power flows down from the top of the hierarchy and diminishes as it approaches the bottom. Just think of the beehive. The queen bee stands at the top, and each worker bee or drone has its own place in the hive's chain of command. Human Resource Management 1. The merit system as an embodiment of the “culture of competence and commitment to the public service” is highly desired and esteemed by the civil service personnel. Unfortunately, the political patronage system serves as a “counter culture” which impedes the positive development and institutionalization of the culture of merit in the bureaucracy. What action measures can you recommend in order to improve the administrative capability of the bureaucracy? ANSWER: Certain actions could be taken to significantly improve bureaucratic capability. The following are just some strategies might consider: Changing the values and attitudes - This first idea is that bureaucratic personnel's attitudes and values are so deeply ingrained that they work either through hierarchical authority or external pressure. This is satisfactory up to a point. Authority exceeding the limits is counter-productive. Rather than the matter of making the task relevant, their very existence can have significant impact. It is generally seen that individuals who work hard are those who actually enjoy their jobs. A measure that requires massive attention is how to make work meaningful and pleasurable. Changing the procedures and processes – This simplification of the processes and procedures is important to ensure accountability in public life. In fact, the process has come to dominate the name of accountability. Changing the perceptions of the purpose – This third idea should be the very orientation of the whole bureaucratic system towards the purpose – be it rapid growth or social justice. It should be participative wherein those who are in charge of implementation are also the conscious participants of the policy formulation. They should own the policy and have a sense of belonging to the system. Using the latest technology – And this last action measure should aim at tapping new technologies. This, of course, should be done very consciously. Technology is also social relationship. Therefore, corporation of technology should see to it that the new organizational culture is internalized. Given the judicious mix of use of technologies and comparability of human sensibilities, it should be possible to enhance the bureaucratic capabilities. 2. It is an accepted principle among practitioners that the management of human resources is not an exact science. Nevertheless, since management of people must be integrated with the management of an organization, whether public or private, it is primarily the function and responsibility of all levels of management. How can an understanding of the principle help a management consultant in developing a personnel development program that will enhance motivation and productivity of employees. Discuss from the following dimensions: A. Relationship of employees with the organization. ANSWER: The employee-organization relationship (EOR) is a construct for examining the complex perceptions of both employees and employers/managers and their expectations of one another in the workplace. Based in social exchange theory (and economis exchange theory) and the inducements-contributions model, study of the EOR enables scholars and professionals to analyze the contributions of internal communications and organizational development practices on productivity, employee engagement, satisfaction and organizational trust. Employee-organization relationships, by way of impact on these concepts, affect internal and external organizational outcomes. B. Relationship with top management. ANSWER: A relationship between the top management and employees can greatly impact the overall business and its success. Here’s 5 reasons why: PRODUCTIVITY is what will get a company to achieve its goals. Companies that pay attention to their employees have a benefits from bigger profits. Organizing team building activities or providing recreational room can help you create a better relationship with your employees. It will also help them relax with their stressful days at work and feel more appreciated. LOYALTY- an engaged employee will help you attract not only more talented and expert individuals to work for you, but they will also become brand ambassadors. This means that they will promote your values and products with utmost belief in them and thus provide you with the best marketing. To achieve this kind of behavior, you have to show your employees that you respect them. C. Relationship with the lower levels of management. ANSWER: The lower levels of your organization must take upper-decision seriously. Workplace misconduct, for example, must result in serious consequences. On the other hand, browbeating employees won’t create environment conducive to excellence. Your goal should be to ensure the lower levels of your organization respond well to the directions of supervisors, who in return should be reasonably responsive to employee concerns. In our complex economy, the jobs people have and the value society places on them determines productive capability and self – esteem. Behind a person’s decision to accept or refuse to take a job, or his decision to quit one is not a simple impulse or value choice but a complex combination of assessments of objective reality on one hand and the values, attitudes, and beliefs drawn from different levels of his experience, on the other. As the Executive Director of an international agency engaged in technical and vocational training of informal settlers in the Asia Pacific Region, develop a training program for women welders for possible employment in the Middle East. 3. One dimension of administration reform pertains to the need to change or reorient the behavior and even value systems of the people in the bureaucracy. Philippine Administrative history has seen programs aimed precisely at that. Various implementing training programs for various levels of bureaucracy. Also built into there training efforts are methodologies to immerse the bureaucrats in local situations. But it is common knowledge that in spite of all these efforts the bureaucracy has essentially remained the same. From the point of views of a development administration student, discuss the problem/s with possible recommendations to improve the situation. ANSWER: An administrative reform is a conscious, well-considered changed that is carried out in a public sector organization or system for the purpose of improving its structure, operation or the quality of its workforce. Change and reform are both essential for every system and especially very important for public administration. But the essentiality of reform does’ not mean that its attainment and implementation are very easy tasks and naturally can be smoothly implemented. Here lies the problem of administrative reform. 1. The situation for administrative reform appears to be imminent. The prevailing system of public administration is unable to cope with the changes that have engulfed the society. In other words, there has developed a very big gap between the capacity of public administration and the growing demands and requirements. 2. The administrative reform is not a day to day affair. That is, public administration cannot be reformed frequently. When to reform and how much to be reformed pose big problems and these cannot be solved easily. The authority will start reforming public administration when the necessity will be fully ripe. Men will ardently desire a reform in public administration. But here is a problem again. A section of the society wants reform while the other section may feel that it is unnecessary. The reconciliation between the two opposing groups may prove an impossibility. 3. A reform must be a long-term process. But the problem is it is not possible for the administrators to anticipate the future. The result is today’s reform may appear to be irrelevant in the near future. But an administration cannot be reformed frequently. None can overcome this problem. Reform is essential and future irrelevancy is certain. 4. An important objective of administrative reform is to ensure the support of the clients for the reform and participation of people in administration. Here lies a very big problem. Without people’s support a reform proposal can never be executed. Particularly in a country where there are large number of parties and the relation between them is far from cordial. When the party in power proceeds to introduce certain reforms in public administration other parties will or may object. In the light of the above analysis we say that the success of administrative reforms depends upon certain preconditions and some are briefly stated: 1. The authority must be serious and sincere about the reforms. That is, the authority is adamant that for the betterment of society public administration must be reformed. 2. The authority is sure that the reforms in public administration will bring about desired and improved results. If not, the authority should not try to reform. The authority, through its machinery, should try to gauge the attitude or mentality of the people about the reform proposals. In a democracy nothing can be imposed upon the people by applying coercive measures. The authority shall try to anticipate what people actually want and what the reforms are prepared to offer. There shall be a conciliation between the two. The authority must be able to prove or establish that the present form of public administration is not able to satisfy the requirements of the general public. The public will also agree with the authority. When this happens, administrative reform will be able to achieve success. There is also the problem of implementation. For the successful implementation of reform, an efficient government machinery is essential. People’s cooperation is also deemed as a precondition. Even various forces -both national and international may try to scuttle the reform proposals. In this regard utmost alertness on the part of authority is required. Finally, we hold the view that it is the duty of the authority to create a favorable atmosphere for the reform proposals so that the general public can accept it easily. Bureaucracy helps enable both larger and more left-wing government because that kind of government accords with the preferences of most bureaucrats and makes them better off. Even when the President leans to the political right, permanent government of the left provides a powerful counterweight to his objectives. The political beliefs of the median federal government employee lie to the left of both the median Republican and the median Democrat. In some departments, like the Environmental Protection Agency or the Civil Rights Division, the effect is particularly pronounced. Missions of such intensity often attract those of missionary zeal. An administration in favor of limited government might try to hire more conservative civil servants. But selection bias and other factors make such an effort unlikely to succeed. Too overt consideration of ideology could run afoul of the law and result in charges that the administration is politicizing the civil service. Bureaucrats' interest in status means they are likely to push to expand the jurisdiction and power of their departments. While expansive regulation is likely to reflect the preferences of most bureaucrats anyway, this effect works independently of preferences. The more intrusive regulations are, the more agency officials will earn in the private sector by helping businesses manage their way around them. The revolving door is not only a generator of conflict of interests, but a gateway to the larger state. It also creates better outside employment options for agency employees. HERE ARE A FEW SOLUTIONS: - Conservatives and libertarians should be reluctant to delegate power that is likely to be exercised in a liberal direction. Lawmakers should demand a statute several degrees to the right of where they think it should be if there is a delegation because the bureaucracy will move it to the left. - Congress should pass the REINS Act, which would require a Congressional vote under fast track procedures to approve major agency rules before they become law. This act would transfer power currently held by bureaucrats back to legislators. People on the left realize that it could not be enacted until the next era of unified Republican government. - Cost benefit analysis could be required by law, unless specifically exempted in a statute. This tool constrains agencies, by requiring bureaucrats to show that regulations have net benefits. OMB reviews all cost benefit analyses, which provides a check on the parochial regulatory expansion of agencies. - Article III judges are not perfect, but they are far less ideologically skewed than bureaucrats, and have no pecuniary or status incentives to expand their work. Subject cost benefit analysis to judicial review would increase the seriousness with which it is taken and further weaken the power of bureaucrats. - Bring independent agencies within Presidential control. As I stated in the previous post, Presidents have modest powers to recalibrate the bureaucracy, but these powers are even weaker at independent agencies which are insulated from their control. - My co-blogger Mike Rappaport once suggested to me that each agency have a unit devoted to deregulation. His is a very sensible idea, not least because it might attract a different kind of personnel–people more sympathetic to the market than top-down government control. - Privatize where possible. Privatization has often been sold as way of gaining efficiency in the bureaucracy. But it can also bring in personnel who skew less ideologically to the left. 4. Whatever the task – training, motivation or performance review – the success depends on the manager’s recognition, understanding and adaptation of tasks to each individual’s cultural values. In our multicultural society, those engaged in managing people is faced the task of developing organizational human resources. Discuss the various cultural elements and contrasts which must be considered in developing and implementing such tasks. ANSWER: An organization's culture defines the proper way to behave within the organization. This culture consists of shared beliefs and values established by leaders and then communicated and reinforced through various methods, ultimately shaping employee perceptions, behaviors and understanding. Organizational culture sets the context for everything an enterprise does. Because industries and situations vary significantly, there is not a one-size-fits-all culture template that meets the needs of all organizations. A strong culture is a common denominator among the most successful companies. All have consensus at the top regarding cultural priorities, and those values focus not on individuals but on the organization and its goals. Leaders in successful companies live their cultures every day and go out of their way to communicate their cultural identities to employees as well as prospective new hires. They are clear about their values and how those values define their organizations and determine how the organizations run. Conversely, an ineffective culture can bring down the organization and its leadership. Disengaged employees, high turnover, poor customer relations and lower profits are examples of how the wrong culture can negatively impact the bottom line. Mergers and acquisitions are fraught with culture issues. Even organizational cultures that have worked well may develop into a dysfunctional culture after a merger. Research has shown that two out of three mergers fail because of cultural problems. Blending and redefining the cultures, and reconciling the differences between them, build a common platform for the future. In recent years, the fast pace of mergers and acquisitions has changed the way businesses now meld. The focus in mergers has shifted away from blending cultures and has moved toward meeting specific business objectives. Some experts believe that if the right business plan and agenda are in place during a merger, a strong corporate culture will develop naturally. What Is Organizational Culture? An employer must begin with a thorough understanding of what culture is in a general sense and what their organization's specific culture is. At the deepest level, an organization's culture is based on values derived from basic assumptions about the following: Human nature. Are people inherently good or bad, mutable or immutable, proactive or reactive? These basic assumptions lead to beliefs about how employees, customers and suppliers should interact and how they should be managed. The organization's relationship to its environment. How does the organization define its business and its constituencies? Appropriate emotions. Which emotions should people be encouraged to express, and which ones should be suppressed? Effectiveness. What metrics show whether the organization and its individual components are doing well? An organization will be effective only when the culture is supported by an appropriate business strategy and a structure that is appropriate for both the business and the desired culture. Culture is a nebulous concept and is often an undefined aspect of an organization. Although extensive academic literature exists relating to the topic of organizational culture, there is no generally accepted definition of culture. Instead, the literature expresses many different views as to what organizational culture is. Organizational culture can manifest itself in a variety of ways, including leadership behaviors, communication styles, internally distributed messages and corporate celebrations. Given that culture comprises so many elements, it is not surprising that terms for describing specific cultures vary widely. Some commonly used terms for describing cultures include aggressive, customer-focused, innovative, fun, ethical, research-driven, technology-driven, process-oriented, hierarchical, family-friendly and risk-taking. Because culture is difficult to define, organizations may have trouble maintaining consistency in their messages about culture. Employees may also find it difficult to identify and communicate about perceived cultural inconsistencies. HOW CULTURE DEVELOPS An organization's customs, traditions, rituals, behavioral norms, symbols and general way of doing things are the visible manifestation of its culture; they are what one sees when walking into the organization. The current organizational culture is usually due to factors that have worked well for the organization in the past. Founders typically have a significant impact on an organization's early culture. Over time, behavioral norms develop that are consistent with the organization's values. For example, in some organizations, resolution of conflicts is hashed out openly and noisily to create widespread consensus, whereas in other places disputes are settled hierarchically and quietly behind closed doors. Though culture emerges naturally in most organizations, strong cultures often begin with a process called "values blueprinting," which involves a candid conversation with leaders from across the organization. Once the culture is framed, an organization may establish a values committee that has a direct link to leadership. This group makes sure the desired culture is alive and well. For values blueprinting to work, organizations must first hire people who live the values and have the competency needed to perform the job. SUSTAINING A CULTURE The management of organizational culture starts with identifying a company's organizational culture traits or "artifacts." Artifacts are the core business activities, processes and philosophies that characterize how an organization does business day-to-day. Identifying these traits—and assessing their importance in light of current business objectives—is a way to start managing culture. Three broad concepts help identify the traits specific to a culture: Social culture. This refers to group members' roles and responsibilities. It is the study of class distinctions and the distribution of power that exists in any group. Material culture. This involves examining everything that people in a group make or achieve and the ways people work with and support one another in exchanging required goods and services. Ideological culture. This is tied to a group's values, beliefs and ideals—the things people view as fundamental. It includes the emotional and intellectual guidelines that govern people's daily existence and interactions. Leaders and managers within an organization should approach culture management by initially gaining an understanding of the common traits found in all businesses. Then, they should take the following steps to manage their organization's culture: Identify common artifacts or traits, including those from the standpoint of an organization's social, material and ideological culture. Convene groups of employees—representatives from all levels, functions and locations of the organization—to assess the validity, significance and currency of key artifacts. Subject those traits to a rigorous assessment of their underlying shared assumptions, values and beliefs. Summarize findings and share them with all participants to solicit additional insights. Create a culture management action plan. The plan should enhance traits that support corporate growth or organizational effectiveness and correct traits that might hinder a company's advancement. Typically, shared assumptions and beliefs originate with an organization's founders and leaders. Because those beliefs proved successful (otherwise the company would not exist and the leaders would not be in their positions), often they go unchallenged; however, those assumptions and beliefs might be outdated and may hinder future success. 5. The Mayor of the City of Malolos where the plant ZTE Corporation, a multinational company, is located sent to Mr. Charles Bronson, the recently appointed Country Resident Manager of the corporation, his personal Secretary with the husband of the City Treasurer and City Assessor, and the Secretary and the two men arrived at the company compound in a police car. The Secretary told Mr. Bronson that the two men were “compromise” recommendees of the city mayor and the congressman, known political allies of President Duterte. Mr. Bronson referred the matter to you, the Personnel Officer. How will you handle the situation? How will you explain the “complexity” of the situation to Mr. Bronson? What will be your recommendation? Advanced Marketing Management 1. Ethics is critical to all aspects of global business. With this in mind, critically evaluate the concept of ethics in Marketing strategic marketing management, identifying the issues and benefits of ethical practice using business/marketing examples to justify your answer. ANSWER: CONCEPT OF ETHICS IN MARKETING STRATEGIC MARKETING MANAGEMENT ETHICS are a collection of principles of right conduct that shape the decisions people or organizations make. Practicing ethics in marketing means deliberately applying standards in fairness, or moral rights and wrongs, to marketing decision making, behavior, and practice organization. In a market economy, a business may be expected to act in what it believes to be its own best interest. The purpose of marketing is to create a competitive advantage. An organization achieves an advantage when it does a better job than its competitors at satisfying the products and service requirements of its target markets. Those organizations that develop a competitive advantage are able to satisfy the needs of both customers and the organization. ISSUES: Ethical marketing decisions and efforts should meet and suit the needs of customers, suppliers, and business partners. Unethical behavior such as price wars, selective advertising, and deceptive marketing can negatively impact a company's relationships. Recent trends show that consumers prefer ethical companies. 1. Gifts, gratuities, bribes (marketing and sales) 2. Price discrimination and unfair pricing (marketing and sales) 3. Dishonest advertising (marketing and sales) 4. Miscellaneous unfair competitive practices 5. Cheating customers, unfair credit practices, and overselling (marketing and sales) 6. Price collusion by competitors or price fixing (marketing and sales) 7. Dishonesty in making or keeping a contract 8. Unfairness to employees and prejudice in hiring BENEFITS: There are numerous benefits to both company and society from ethical marketing practices. Some of the primary benefits include: Reputation - Companies that market consistent with ethical norms or expectations build a positive reputation with the public. Customer Satisfaction/Loyalty - Delivering a product that is consistent with advertising establishes trust or confidence with customers. This results in customer happiness and generates return customers based upon loyalty to the product, company, or brand. Increased Sales - Ethical marketing campaigns generally have a better longterm effect on sales. Unethical practices tend to be discovered and have a short-term effect at best. Improved Standard of Living/Health - The overall sense of fairness and equity that results from ethical business practices (particularly marketing), results in an overall improved standard of living for customers. 2. Critically evaluate Porter’s 1980 generic strategies framework. ANSWER: Porter’s (1980) develops three potential successful generic strategies for creating a defensible position and out performing competitors in a given industry. 1. Cost-Leadership: This emphasizes low cost relative to competitors 2. Differentiation: Requires that the firm creates a product/service that is recognized industry wide of being unique. Allowing it to command higher than average prices. 3. Focus: This is where the firm concentrates on a particular segment of customers or geographic markets. However, Porter states that firms must avoid characterization of being ‘stuck in the middle’, this is due a letter class of firms failing to develop any one of these strategies. As a result, can guarantee ‘low profitability’. - A criticism is that cost cannot always be completely ignored by management, especially when making the distinction between differentiation and cost. Most companies will not admit that their product is not essentially the same as that of others. - Porter’s strategy is only part of the broader picture and should be used as a starting point. It does not provide relevant strategic routes in the case of fast growing markets. - There is a concern for smaller firms as the choice of strategy is much bound by the size of the firm and the access it has to resources. 3. Advocate of the resource-based view argue “organizations that are in possession of unique resources have the basis for superior performance advantage over its rivals” Critically analyze this approach to achieving a competitive advantage