6. a) b) c) d) CII Institute of Logistics PGDSCM/DSCM/ADSCM & CERTIFICATE PROGRAMS Semester-end Examinations- December 2011 7. MANAGAEMENT PRINCIPLES FOR LOGISTICIANS Time: 3 hours Marks: 100 Part A Answer all questions (10 x 1 = 10 Marks) 1. a) b) c) d) Which of the following behavioral scientists proposed the Theory Z? Frederick Herzberg Douglas Mc Gregor William Ouchi F W Taylor 2. a) b) c) d) What does the VIE theory emphasize on? Effort-performance relationship Performance-reward relationship Rewards-personal goals relationship All the above 3. The leader’s ability to work effectively with the members of the organization and accomplish team work is termed as Conceptual skill Technical skill Human skill Design skill a) b) c) d) 4. a) b) c) d) 5. a) b) c) d) The degree to which power and authority are concentrated at the top most level of the organization is known as Formalization Centralization Unity of command Standardization The comparison of the experience of an employee holding a certain position with those holding a similar position in an another organization is referred to as Self-inside Other-outside Self-outside Other-inside This function of management bridges the gap between the present and the future. Planning Leading Staffing Organizing a) b) c) d) ……………………………. is the orderly arrangement of collective efforts to accomplish a common organizational goal. Division of work Coordination Delegation Span of control 8. a) b) c) d) Which among the following is not an internal source of recruitment? Transfers Promotion Direct applications Employee referrals 9. To make the decision making process effective this model believed that man is completely rational in taking decisions based on the best alternative available. Which is the model? Economic man model Administrative man model Social man model None of the above a) b) c) d) 10. i. ii. iii. iv. v. a) b) c) d) Arrange Maslow’s Need hierarchy in the order they are satisfied. Safety needs Physiological needs Esteem needs Social needs Actualization needs i,ii,iii,iv,v ii,iv,v,i,iii ii,iv,i,iii,v ii,i,iv,iii,v Part B 1. 2. 3. Answer any four (4x15= 60 marks) Compare and evaluate Maslow’s theory of motivation with that of Herzberg’s and Alderfer’s Motivational theory. Planning and forecasting being indispensible tools for the smooth functioning of the organization, how would you analyze the positive and the negative aspect of planning? Explain the recruitment process and analyze the merits and demerits of internal as well as external recruitment. 4. 5. 6. Compare and contrast A. Formal & informal organizations B. Centralization & Decentralization C. Authority & Responsibility How are the following important from the Management point of view? A. Line and staff function B. Job analysis C. Management information systems(MIS) Decision making is an essential part of modern management and also the regular activity of managers. To make this part effective what should be the process to be followed? Part C Case study (2*15=30 marks) Please read the case and answer the questions given below: Ashrita Airlines (AA), a Mumbai-based company, operated flights to all the Asian countries. In all these countries, AA had subsidiaries which offered Airport Terminal Services. The services included traffic control, cargo services, security services and catering (for staff and passengers). The subsidiary in each country was headed by a country manager who enjoyed a great degree of freedom and could take many decisions without having to consult the headquarters. salaries to its employees. Arora, thereafter, cautioned the erring employee to rectify his behavior to prevent such a situation from recurring. If it came to his notice that there have been more than three occasions in which a customer has complained against an employee, he demoted the employee or fired him. Arora wanted to further improve the service offered to customers. He hired the services of leading consultancy—Apple consultants who offered special training programs in customer service to airline employees. The training enabled AA to improve its quality of customer service. In a customer survey conducted a few months after the employees had been trained, most of the customers who traveled by AA rated the organization’s customer service as excellent. AA’s terminal services division in India received many awards for its excellent customer service and superior quality services. The subsidiary in India offered engineering services apart from other regular services like cargo, security and catering. Some international airlines used AA’s services and paid for them this became an additional source of revenue for AA and its profitability increased. On the founders’ day celebrations of the organization, the CEO of the organization praised and rewarded Arora for his efforts to improve customer service. The other country managers present at the function were impressed and announced their plans to follow in Arora’s footsteps, and make their subsidiaries efficient and profitable in a similar way. Questions for analysis: 1. The organization structure at AA was flat in nature. Under the CEO, there were country managers. Under country managers, there were functional managers. All functional executives reported to the respective functional managers. For example finance executives reported to finance manager and sales executives reported to sales manager. AA rotated its employees through different jobs to help them acquire cross functional expertise. But the policy of job rotation did not apply to specialists such as engineers and technicians. AA’s country manager in India, Ajay Arora (Arora), focused on improving the efficiency of the organization’s terminal services. Arora paid close attention even to minute details of the company’s operations. He ensured that the food served on flight conformed to the customers’ tastes and preferences, and that the passengers’ luggage was transferred from the flight to the luggage room within minutes and they did not have to wait for more than 10 minutes for their luggage. If any customer reported any problem in dealing with any employee at AA, Arora immediately took action in the matter. He called the employee who had interacted with the customer and brought to his notice the customer’s complaint about his service. Arora also pointed out to the employee that if one customer left AA, it meant a loss of business for the company. He emphasized the fact that if AA were to continue to lose business each day due to inappropriate behavior of employees, soon the organization would become bankrupt and would not even be able to pay 2. What type of organization structure did AA have? Discuss the advantages and disadvantages of this structure. What are the different methods of departmentalization used in organization? Was the process of decision making centralized or decentralized in AA? How did it benefit the organization? What are the possible negative effects of decentralization? *****************************************