Unit 3 HRM PDF

Human Resource Management
Chapter IX
Job Evaluation
Aim
The aim of this chapter is to:

explain the concept of job evaluation
elucidate various job evaluation methods
enlist the responsibilities of job evaluation
Objectives
The objectives of this chapter are to:

evaluate the job evaluation methods
elucidate the concept of job satisfaction
explain the need to transfer or promote the employees
Learning outcome
At the end of this chapter, you be able to:

understand what is meant by job evaluation
differentiate between various types of job evaluation
understand job descriptions as well as job evaluation plans
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9.1 Introduction
Job evaluation is a systematic process that you can use to determine the relative level, importance, complexity, and
value of each job in your organisation. With a successful job evaluation system, you can compare each job to other
jobs within your organisation. It is best to perform job evaluation after work analysis. Job evaluation, in conjunction
with work analysis, helps you develop a job description that is broad, descriptive, and flexible so that you can adapt
the description to your organisations changing needs.
9.2 Assess Employee Contribution

Job evaluation helps you establish and qualify differences in employee contribution across jobs. These differences
provide a foundation for employee compensation decisions. The job evaluation process measures the elements of a
job and produces an overall score. In each case, you evaluate the job, not the employee who performs the job.
9.3 Definition of Job Evaluation

Job evaluation deals with money and work. It determines the relative worth or money value of jobs.

The International Labor Organisation defined job evaluation as an attempt to determine and compare demands
which the normal performance of a particular job makes on normal workers without taking into account the
individual abilities or performance of the workers concerned.
Wendell L. French defined job evaluation as a process of determining the relative worth of the various job
within the organisation, so that different wages may be paid to jobs of different worth.
Job evaluation is defined as the overall activity of involving an orderly, systematic method and procedure of
ranking, grading and weighing of jobs to determine the value of a specific job in relation to other jobs.
British Institute of Management (1970) defined job evaluation as, the process of analyzing and assessing the
content of jobs, in order to place them in an acceptable rank order which can then be used as a basis for a
remuneration system. Job evaluation, therefore, is simply a technique designed to assist in the development of
new pay structures by defining relatives between jobs on a consistent and systematic basis.
Thus, job evaluation may be defined as a process of determining the relative worth of jobs, ranking and grading
them by comparing the duties, responsibilities like skill, knowledge of a job with other jobs with a view to fix
compensation payable to the concerned job holder.
9.4 Objective of Job Evaluation

The following objectives are derived from the analysis of the above-mentioned definitions:

To gather data and information relating to job description, job specification and employee specifications of
various jobs in an organisation.
To compare the duties, responsibilities and demands of a job with that of other jobs.
To determine the hierarchy and place of various jobs in an organisation.
To determine the ranks or grades of various jobs.
To ensure fair and equitable wages on the basis of relative worth or value of jobs. In other words, equal wages
are fixed to the jobs of equal worth or value.
To minimise wage discrimination based on sex, age, caste, region, religions etc.
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9.5 Essentials for the Success of Job Evaluation Programme

Following are the essentials for the success of job evaluation programme:

Compensable factors should represent all of the major aspects of job content.
Compensable factor selected should

Avoid excessive overlapping or duplication
Be definable and measurable
Be easily understood by employees and administrators
Not cause excessive installation or administrative cost and
Be selected with legal considerations in mind.
Operating managers should be convinced about the techniques and programme of job evaluation.
Furthermore, they should be trained in fixing and revising the wages based on job evaluation.
All the employees must be aware of the job evaluation technique and programme.
Employees groups and grades must be covered with job evaluation programme.
The programme of and techniques selected for job evaluation should be easy to understand by all the
employees.
Trade union acceptance and support to the programme should be obtained.
9.6 Procedure of Job Evaluation

Following is the procedure of job evalution

The basic procedure of job evaluation is to compare the job content of one job with those of another job.
The content to be compared is decided based on intuition of the rater or by comparing with other jobs focusing
on certain factors.
These factors are known as compensable factors.
Some organisations decide these factors based on the types of the jobs and internal factors.
Some other organisations adopt the factors from other similar companies.
Job are evaluated more systematic ally taking the compensable factor into account.
Indian institute of personnel management has evolved the following steps for evaluating jobs:
9.6.1 Analyse and Prepare Job Description

Job evaluation is the outcome of job analysis.
Job analysis provides information necessary for appraising job skills, knowledge, abilities, and aptitude.
Job description provides the information relating to duties and responsibilities.
Job specification provides information relating to employee minimum acceptable qualities.
9.6.2 Select and Prepare a Job evaluation Plan

Job should be divided into detailed task and positions.
It also includes selection of factors, elements needed for the performance of the jobs, determining the money
value of each factor and element and writing instructions for evaluations.
9.6.3 Classify Jobs

Classify the jobs in a sequential order based on their significance and contribution to the organisation.
Also assign money value to each class.
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9.6.4 Install the Programme

Educate the employees, win their confidence and then put the programme into operation.
9.6.5 Maintain the Programme

This step involves updating the job evaluation programme; bring modification based on the changes in the
condition and situations.
Make sure from time to time that the programme runs smoothly and perfectly.
9.7 Job Evaluation Method

Jobs are evaluated on the basis of various techniques. These are grouped into two classes:

Quantitative
Non-quantitative
Non- quantitative technique

The Non-Quantitative techniques are simple and crude techniques. They are ranking and job classification
methods:
Ranking method

Simple Ranking:
This is the simplest and administratively the easiest technique
The evaluator compares one job with other jobs based on duties, responsibilities and demands made by the
jobs on the job incumbent and the degree of importance of the job to organisation and ranks all the jobs
from the most important to the least important
The evaluator has to appraise and rank the jobs but not the job incumbents
Ranking the key jobs

Ranking all the jobs at a stretch under simple ranking method is difficult
The evaluator, in order to minimise this problem has to be identifying the key or representative jobs at the first
stage, rank the key jobs at the second stage, identify and rank all other jobs at the third stage.
Paired comparison

Another problem of ranking method is that each job cannot be compared with all other jobs for the purpose of
ranking
The method of paired comparison can be adopted to minimise this problem
Under this paired comparison ranking method the evaluator ranks each job in turn against all other jobs to be
appraised, so that a series of paired rankings is produced
This method is more comprehensive, logical and reliable compared to the simple ranking method.
Single factor ranking method

Another problem in ranking method is difficulty of operation. Ranking has to be done on the basis of a number
of factors
In view of this Goldenberg has suggested a single factor ranking scheme
The single factor considered is the discretionary content present in each job related to other jobs
Single most important task to be performed in a job is to identify and compare within the single most important
task to be performed in the other jobs. Thus, pure ranking dose not cover these refinements.
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Job evaluation by classification

Job classification is another easy and well-known job evaluation method that categorises jobs into groups of
relatively the same value for compensation
The groups are classified or categorised by similar compensation factors like independent judgment, physical
effort and so on.
The advantage of this method is that many jobs are already grouped for pay ranges and organisational
planning.
Job evaluation by point method

The point method is a more-complicated, analytical in nature
It involves assigning points based on several compensation factors and the degree to which they are present in
each job, to arrive at a quantitative point rating
It is a widely used job evaluation technique.
Job evaluation by factor comparison

Another popular job evaluation technique, the factor comparison, is a more in-depth ranking method
It ranks each job for several compensation factors like skill, knowledge and difficulty, which are combined into
a total rating.
Quantitative method
The quantitative method is divided into two type i.e. Point method and factor comparison method
Point method

This method was introduced by the Merrill R. Lott
This method is analytical in the sense that jobs are broken into components for purposes of comparison
This method is quantitative as each component of the job is assigned a numerical value
Each factor is divided into degrees or levels and point value is assigned to each level and point values are
assigned to each level
The total of point values assigned to each factor gives the total point value for each job which can be
compared
Typically the compensable factors include the major categories of:
Skill:
Education
Training
Judgment
Analysis
Mental complexity
Mental dexterity
Adaptability etc
Responsibilities:
Monetary loss
Machines
Materials
Safety
Policy
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Effort:
Physical demand
Visual effort
Concentration
Mental effort
Alertness etc
Working Conditions:
Working conditions and hazards etc. are the points included in the working condition.
9.8 Advantages of Job Evaluation

Following are the advantages of job evaluation

Job evaluation is a logical and an objective method of ranking jobs relative to each other. It may thus help in
removing inequities in existing wages structures and maintaining sound and consistent wage differences in a
plant or an industry
The method replaces accidental factors accidental factors occurring in less systematic procedures of wages
bargaining by more impersonal and objective standards, thus establishing a clearer basis for negotiation
The method may lead to greater uniformity in wage rates and simply the process of wages administration
Information collected in a process of job description and analysis can be used for improvement of selection,
training, transfer and promotion.
9.9 Limitations of Job Evaluation

Following are the limitations of job evaluation

Though there are many ways of applying job evaluation in a flexible manner, rapid changes in technology and
in the study of demand for particular skills, create problems of adjustment
When job evaluation results in substantial changes in the existing wage structure, the possibility of implementing
these changes in a relatively short period may be restricted by the financial limits within which the firm has to
be operate
When there are a large proportion of incentive workers, it may be difficult to maintain a reasonable and acceptable
structure of relative earnings
The process of job rating is to measure the same with accuracy
Job evaluation takes a long time to complete, requires specialised technical personnel and is quite expensive.
9.10 Job Satisfaction

Job satisfaction is determined by a set of personal and job factor, personnel factors relate to workers age length
of service intelligence, skill and other personality or temperamental factor
R. Hoppock has made pioneering studies on job satisfaction and mention six factor as major determinants of
job satisfaction, namely:
The manner in which the individual reacts to unpleasant situations
The facility with which (s)he adjusts to other persons
Individuals relative status in the social and economic group with which (s)he identifies himself/herself
The nature of work in relation to mans abilities, interests and training, security & loyalty
One of the objectives of an enlightened personnel policy is to increase job satisfaction
To achieve the objective of job satisfaction of the worker, the management must have a clear idea as to what
the worker want from their job.
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9.11 Determinants of Job Satisfaction

Determinants of job satisfaction can be enumerated as follows:

Recognition as an individual
A meaningful task
Job security
Fair wages
Opportunity to advance
Avoidance of arbitrary action
Good working condition
Reputation of the concern
A voice in matters affecting him
Competent leadership and
Congenial associates.
9.12 Promotion and Transfers

From a general point of view, selection involves the following types of problems:
Selection from within or outside the company
Hiring new employees from outside the company
Promotion with in the company
Discharge of old employees.
9.13 Promotion

A few companies do have a clear cut policy while certain organisations issue circulars as and when they need
Many companies develop policies over a period of time through settlements and agreements with the workers/
unions
In promoting employees, consideration should be given for establishment of the horizontal or vertical
promotion
The desirability of securing assistants who complement rather than supplement their superiors is the major point
in a successive plan which is an integral part of manpower planning.
9.14 Definitions of Promotion

PIGORS & MEYERS:

PIGORS & MEYERS, define promotion as the advancement of an employee to a better job - better in terms
of greater respect of pay and salary. Better houses of work or better location or better working conditionsalso may characterise the better job to which an employee seeks promotions, but if the job does not involve
greater skill or responsibilities and higher pay, it should not be considered a promotion. This definition
takes into consideration only a Vertical promotion.
DALE YODER:
According to Dale Yoder, it is a movement to a position in which responsibilities and presumably the prestige
are increased. Promotion involves an increase in rank ordinarily; promotion is regarded as a change that results
in higher earnings, but increased earnings are essential in a promotion. This definition talks of both vertical
and horizontal promotions.
KOONTZ O`DONNEL:
KOONTZ ODONNEL observed that promotion is a change within the organisation to a higher position
with greater responsibilities and used for more advanced skills than in previous position. It usually involves
higher status and increase in pay.
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Promotions can be from within or can be from outside depending upon the need of the organisation as both have
certain advantages and disadvantages
So also are the arguments for and against the concept of promotion on seniority or merit
A wise policy which is followed by many organisations is a proper blending of both
9.15 Transfers

PIGORS & MEYERS Consider transfer as the movement of an employee from one job to another on the same
occupational level and at about the same level of wages or salary
No appreciable change in task or responsibility is expected, SCOTT and others define transfer as the movement
of an employee from one job to another. It may involve a promotion, demotion or no change in job status other
than moving from one job to another.
9.16 Types of Transfer

Transfers are of many types. It may be a reward transfer or a punishment transfer.
Transfers can be classified as follows:

Production transfers
Replacement transfers
Versatility transfers
Shift transfers
Remedial transfers
They can be temporary or permanent. However, it is better to have a clear-cut and flexible transfer policy. Otherwise,
it may lead to a lot of heart- burning among the affected employees.
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Summary

Job evaluation deals with money and work.
0Compensable factors should represent all of the major aspects of job content.
Job analysis provides information necessary for appraising job skills, knowledge, abilities, and aptitude.
The term wage is commonly used for those employees whose pay is calculated according to the number of
hours worked.
A Job is defined as a , a process of determining the relative worth of the various job within the organisation,
so that different wages may be paid to jobs of different worth.
Job satisfaction is determined by set of personnel and job factors.
Job evaluation is concerned with assessing the value of the job in relation to another.
Job satisfaction is determined by a set of personal and job factor, personnel factors relate to workers age length
of service intelligence, skill and other personality or temperamental factor.
References

Rao, P. S. 2010. Essentials of Human Resource Management and Industrial Relations, Himalaya Publishing
House.
Bernardin, H. J., 2012. Human Resource Management, 6th ed., McGraw-Hill/Irwin.
Adamus, W., A New Method of the Job Evaluation, [pdf] Available at: <http://www.creativedecisions.
net/~rozann/0Proceedings/Final_Papers/106_Adamus_REV_FIN.pdf> [Accessed 27 October 2010].
Human Resources Job Description & Job Evaluation Procedures [pdf] Available at: <http://www.mcc.edu/
hr_protected/pdf/Job_Evaluation_Procedure_For_Supervisors.pdf> [Accessed 24 September 2012]
2010. Human Resource Management-I Video Lecture Course, Human Resource Development In Indian
Organisations, [Video Online] Available at: <http://learnerstv.com/video/Free-video-Lecture-18516-Management.
htm> [Accessed 24 September 2012].
2010. Human Resource Management-I Video Lecture Course, Human Resource Development A Scenario , [Video
Online ] Available at: <http://learnerstv.com/video/Free-video-Lecture-18517-Management.htm> [Accessed 24
September 2012].
Recommended Reading

Lepak, D. & Gowa, M., 2008. Human Resource Management, 1st ed., Prentice Hall.
Aswathappa, K. International Human Resource Management, Sadhna, Das, McGraw Hill Companies.
French, W., 2006. Human Resources Management, 6th ed., South-Western College.
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Self Assessment
1. Job evaluation is a systematic process that you can use to determine the relative level, importance,
________________ and value of each job in your organisation.
a. ease
b. difficulty
c. complexity
d. simplicity
2. Job evaluation helps you establish and qualify differences in employee contribution across____________.
a. institutes
b. organisations
c. jobs
d. work place
3. Objective of the Job evaluation is, to gather data and information relating to__________ , job specification and
employee specifications of various jobs in an organisation.
a. job description
b. job designation
c. job recruitment
d. job evaluation
4. Who Define this: A process of determining the relative worth of the various jobs within the organisation, so
that different wages may be paid to jobs of different worth.?
a. Wendell L. French
b. Pigors&Meyers
c. Dale Yoder
d. R.Hoppock
5. In which method _________is quantitative as each component of the job is assigned a numerical value.
a. simple ranking
b. point method
c. skills
d. responsibilities
6. In promoting employees consideration should be given for establishment of the __________________
promotion.
a. upward and downward
b. in circular
c. in-between
d. horizontal and vertical
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7. Which is the following statements is true

a. Job satisfaction is determined by a set of personal and job factor, personnel factors relate to workers age
length of service intelligence, skills and other personality or temperamental factor
b. Job satisfaction is determined by a set of personal and family , personnel factors relate to workers age and
personality
c. Job satisfaction is determined by a set of personal and job factor, personnel factors relate to workers job
description, working ability and competences of the employee.
d. Job satisfaction is determined by a set of personal and job factor, job factors relate to workers age length
of service intelligence, skill and other personality or temperamental factor.
8. Opposite to promotion is_____________ .
a. demotion
b. support
c. encouragement
d. upgrading
9. Job analysis is the process of getting information about_____________ .
a. personnel
b. manager
c. organisation
d. jobs
10. The basic procedure of job evaluation is to compare the job content of____________ .
a. one job requirement with those of another
b. one competence with those of anothers
c. one job with those of another job
d. our jobs with the employees
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Chapter X
Morale
Aim

introduce the concept of morale to students
explain the significance of morale
explain various methods of measuring morale of an employee
Objectives

explain the concept of low morale and high morale
discuss management practices affect morale in an organisation
explain the concept of guided and unguided interview
Learning outcome
At the end of this chapter, you will be able to:

understand morale and its importance
understand the high and low morale concept
identify the technique of measuring morale of an employee
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10.1 Introduction
Organisational morale means as follows:

The way people feel about their job and the organisation they work for
It includes the atmosphere of the workplace and the way people work together as a team
The general level of confidence and satisfaction at work place is nothing but employees morale
High organisational morale usually leads to happy workers and financial success
Morale is internal feeling and it is inspired by the environment
In general it is referred as esprit de crop, a feeling enthusiasm, zeal, confidence in individuals or groups that
they will be able to cope with the tasks assigned to them
For example, an organisation with high morale would have a busy, but positive atmosphere, where everyone knew
what was expected and worked well together to meet these common goals.
10.2 Meaning of Morale

Morale has been variously defined by different authors. Please refer table given below:
Sr. No.
Authors Name
Definition
Professor Ralph
C. Davis
Good organisational morale is a condition in which individuals and groups

voluntarily make a reasonable subordination of their personal objectives for their
organisation.
Dale Yoder and

Paul D. Standohar
Morale means evident commitment, that is, demonstrated spirit, enthusiasm, and
confidence in the organisations policies, programs, and accomplishments. Morale is
revealed by what individuals and groups say and do to show an interest in, understanding
of, and personal identification with work-team survival and success.
3.
Edwin B.
Filippo
A mental condition or attitude of individuals and groups which determines their

willingness to co-operate. Good morale is evidenced by employee enthusiasm,
voluntary conformance with regulations and orders, and a willingness to co-operate
with others in the accomplishment of an organisations objectives. Poor morale is
evinced by surliness, in subordination, a feeling of discouragement and dislike of the
job, company and associates.
4.
Haimann
It is a state of mind and emotions affecting the attitude and willingness to work,
which in turn, affect individual and organisational objectives.
5.
Joseph D. Mooney
The sum total of several psychological qualities which include courage,

fortitude, resolution, and above all, confidence.
1.
2.
Table 10.1 Morales definition
10.3 What is Low Morale?

Low morale, on the other hand, can be a destructive force. It can reduce productivity, harm relationships with
clients and customers, and, ultimately, destroy the organisations bottom line. Many different things can trigger
low organisational morale. Layoffs and job insecurity are among the most obvious. But, morale problems can also
come from poor communication between managers and workers, hard work not being recognised or rewarded, or
even missed opportunities for employees to socialise and bond with one another.
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10.4 Importance of Morale

Morale directly impacts the working of an individual in a team towards the realisation of common objectives
Morale therefore is individual specific as well as general
Building of morale is not a mechanical problem that could be solved by either rewards or by punishments
The best way to manage it is to proactively do a lot of employee related interventions that will together impact
morale positively
Morale can be broadly divided into three categories:
The first concerns, off-the job satisfaction that is expected from work such as:
Income
Security
Stature in the community
The second concerns on-the-job satisfaction:

For example-job interest
Opportunity for advancement
Status within the organisation
The third group concern personal satisfaction:

Job satisfaction that employee get is for organisation in the form of:
Growth
Achievement powers
Job expertise etc.
Each category has its impact and can damage employee morale to varying degrees
It can result in employee behavior that ranges from engaging in simple gossip to the employee exiting the
company
One of the ill effects of low employee morale is the bad-mouthing that the employee might engage in outside
the workplace with friends and might even engage in negative press reporting
This could be very harmful for the market perception about the company and even impact sales and revenue
Morale can also be understood as the spirit and confidence with which the employee performs his/her job
It is a complex psychological quality that is impossible to force on someone, difficult to measure, and easily
destroyed
The level of morale is a result of the degree to which the overall needs of the individual are fulfilled.
10.5 Employees Morale

Employees Morale can be classified as follows:
10.5.1 The Employees Background

Levels of indigence and education
Type of personality
The above two points largely determine the way in which one seeks to fulfill individual needs for belonging,
esteem, and self-realisation
Morale hinges on the satisfaction of these needs.
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10.5.2 An Employees Personal Environment Encompasses

His/her relations with his/her family, friends and neighbors
The employee brings thoughts of his/her home and social life with work and they influence thinking and attitudes
while on the job.
10.5.3 Management Practices Influencing Morale Include

Manager behavior
Company policies and procedures with respect to salaries
Promotion methods
Employee services and benefits
Working conditions
Handling grievances
Disciplinary actions
Handling employee issues etc.
10.5.4 Bottom Line

Employee morale is all about the perception of the employees expectations and reality
The closer the individuals environment comes to providing the kinds of rewards one expects; the better will
be ones morale
And as this is unique to each individuals expectations
All of the categories mentioned above need to be proactively redressed in order to best manage morale.
10.6 Morale and Productivity

It is assumed that high morale and high productivity go hand in hand
Since morale manifests itself in the attitudes of employees, it is important to know about the results of high
and low morale
One of the most unpredictable effects of the level of morale is its impact on employee productivity
The productivity of a group is a composite of many factors, at least one of which is the general state of mind
or the commitment of the group
Formerly it was thought that high morale resulted in high productivity
The more we study the casual relationship in business; the less prone we are to oversimplify these
relationships
Research is repeatedly proving that this correlation is not as simple
Various studies have revealed that the group having the highest morale need not always be the highest in
productivity
As morale is made up of so many factors, so is productivity, hence both the terms are combination of complex
factors
The higher the groups satisfactions the higher the productivity
Though high morale may not be the single cause of the high productivity
A high-producing group nearly always has a reasonably high morale
Morale development most of the time results in successful operations

Where the individuals can relate their respective endeavors and objectives to the success of the enterprise
as a whole
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So this concluded that A morale-building organisation tends to utilise fully the skill, initiative, judgment,
and training of its members, and through such utilisation succeeds in building up these and other qualities
in everyone, so that the abilities of all constantly expand, and the organisation thus is able to succeed and
grow.
10.7 Measurement of Employees Morale

Morale can be measured by accessing attitude and job satisfaction
As it is intangible and subjective concept, it cannot be directly measured or evaluated
Employees may be unwilling to express their feelings of satisfaction or dissatisfaction with their job to the
management
Methods of measuring morale all the way from the hunch or general feeling, appraisal to reasonably
scientific efforts.
There are some scales on which we can measure employees Morale:

The supervisor/executives impressions
The guided interview
The unguided interview
A combination of the guided and unguided interview
An analysis of company records
The listening-in process
The questionnaire
A combination of any of the foregoing methods.
10.8 Interview Method

Interview may be of two types:

Guided
Unguided
10.8.1 Guided Interview

In guided interview method emphasises mainly on the questions set out before hand by consulting the higher
management
Under this method, the investigators go to the respondent with printed questionnaires
Explaining them the general objects and provide explanation, if asked for
The interview asks a series of formal questions with simple choice responses
Similar to those included in the printed questionnaire which answered orally.
10.8.2 Unguided Interview

In unguided interview the participants are encouraged to talk freely about what he thinks about the organisation
and its people
There are no specific or formal questions
The interviewer listens to and encourages the employees to take freely with an assurance that talk will remain
secret and confidential
It may be held individually or in groups
The interviewer may ask questions of general interest and should avoid specific questions.
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10.9 A Combination of the Guided and Unguided Interview

To combine the two methods, the interviewer may start with the guided interview, which should be not too long
or cover too much territory
The interviewer is then invited to discuss any subject that (s)he may like to talk about
During the guided interview some persons tend to bring in material that has no special significance in relation
to the information sought
The interviewer should observe such instances and encourage the interviewee to follow up these leads during
the unguided position of the interview
As a matter of fact, few guided interviews are strictly kept on the detailed subjects laid out in the formal
program
And a conscious effort has to be put forth to get the most out of the unguided phases of the interview.
10.10 Companys Record Method

The investigators analyses the records and bring out the variations in output, such as:
Rate of absenteeism
Labor turnover and accident
Grievances
Complaints and their severity
By analysing the records, one checks the extent to which organisation is achieving results
The extent of increase or decrease in profitability, productivity or any other direct benefits to the enterprise
It is the indirect method of measuring the employee morale.
10.11 General Impression of the Supervisor

Some supervisors may not be able to tell you how they know the morale of their men (team member)
But they enjoy such an intimate relationship with their team member that they do know what their attitudes
are
They usually know how to get things done according to the methods they have been taught, but few of them
have had any special training in evaluating morale as such
Some executives are inspirational leaders and capable of developing a high morale, but few of these are trained
in observing and evaluating morale standards
Executives should be encouraged to strive to sense the morale situation and should be aided by more accurate
tools that are available.
10.12 Listening-in by a Trained Observer

Whiting Williams of Cleveland, Ohio has developed the listening-in technique to which is called Whiting Williams
Method. He personally possesses the ability to make his observations largely objective, something that is unusual
in men who might be available for such work.
10.13 The Questionnaire Method

This method is generally used to collect employee opinions about the factors which affect morale and their
effect on personnel objectives
Morale surveys are generally conducted with a view to:

Finding out what employees really think
Finding out about the kind of education and information they need
Improving morale and keeping a check on the effectiveness of personnel programs
Determining the training needs of employees
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Finding out what employees really like.

In the questionnaire, questions may be asked in various ways
The interviewer has to determine the type of questions to be used depending on the objectives of the survey
These include multiple choice, dichotomous (yes or no) and open-ended questions.
10.14 Conducting the Survey

Management may engage an outside consultant to conduct the entire survey
In this event, the consultant must be introduced to the employees, and they should be assured that the person
will not reveal to anyone an individuals answer
In some cases the companys representatives may give the employees the questionnaires in a stamped
envelope
Then they do planning on a table about how to distribute those envelopes
They let the employees to get them if they wish to
Employees can even give that envelop to their fellow employees to distribute them
The stamped envelopes are frequently addressed to some management consultant or college professor who
tabulates the results.
10.15 Measurement of Employee Morale

An organisation with low morale must move quickly and decisively to fix the problem before it is out of
control
For the most part, it is up to the managers and other senior staffs to implement strategies that will fix the
problem
However, the average worker does have some influence over improving morale
Dale Yoder and other pointed out the following as signals of low morale:
Employee unrest
High rate of absenteeism
Tardiness
High employee turnover
Grievances
Need for discipline
Fatigue and monotony
10.16 Improving Morale

There are a number of measures which can be used to control the warning signal of low morale
The following are the positive measures to be taken to bring job satisfaction to the employees and reconcile
individual interests with the interests of the organisation
Creation of whole jobs
Job enrichment
Building responsibility into job
Modifying the work environment
Job-sharing
Rotation of jobs
Profits-sharing
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Morale can be improved in several other measures such as:

Employee contest
Special recognition
Awards to long service employees
Free coffee during rest pauses
Films shows to employees during their lunch hour
Training the supervisors in how to handle people
Under these methods complete jobs are assigned to workers
The complexity of a job should be increased so that it may appeal their higher needs
Job enrichment tries to deal with dissatisfaction by increasing job depth
Under this, individual employees may be given responsibility for setting their own work pace for concerning
their own error, and/or for deciding on the best way to perform a particular task
Employees should be encouraged to take risk decision
This can be achieved by:

Developing work groups
Developing the social contact of the employees
The use of music
Regular rest breaks
Flex time permits employees to arrange their work hours to suit their personal needs and life-styles
This is particularly suited to situations with fluctuating work loads
Flex time employees are responsible for coordinating their functions with other employees
Furthermore, it will increase the responsibility and autonomy on employee
Two workers divide a full-time job between themselves splitting not only the hours of work but also salary
This reduced employees boredom which arises out of the monotonous nature of his work
Morale can be improved by effective profit-sharing schemes
In addition to its economic aspects, profit sharing has also psychological aspects relating to friendly move by
the management in providing the workers an opportunity to participate in the profits.
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Summary

Good organisational morale is a condition in which individuals and group voluntarily make a reasonable
subordination of their personal objectives of their organisation.
Morale can be measured by assessing attitude and job satisfaction.
The guided interview is based on the hypothesis that employees answers to certain questions will reveal their
attitudes.
Questionnaire method is generally used to collect employee opinions about the factors which affect morale and
their effect on personnel objectives.
Definition of morale by Professor Ralph C. Davis, Good organisational morale is a condition in which individuals
and groups voluntarily make a reasonable subordination of their personal objectives for their organisation.
Morale is nothing but esprit de crop, a feeling enthusiasm, zeal, confidence in individuals or groups that they
will be able to cope with the tasks assigned to the employees.
Low morale can reduce productivity, harm relationships with clients and customers, and, ultimately, destroy
the organisations bottom line.
References

Decenzo, 2009. Fundamentals Of Human Resource Management, 8th ed., John Wiley & Sons.
Kumar, A. & Sharma, R. Principles of Business Management.
Managing Through Change [pdf] Available at: <http://www.hr.ucdavis.edu/worklife-wellness/ASAP/mgrstoolkit/

Managing%20Change.pdf> [Accessed 25 September 2012]
A moral principles framework for human resource management ethics [pdf] Available at: <http://cf.linnbenton.
edu/bcs/bm/gusdorm/upload/Moral%20Principles%20Framework.pdf> [Accessed 25 September 2012].
2010. Human Resource Management-I Video Lecture Course, Nature and Scope of HRM, [Video Online ]
Available at: <http://www.youtube.com/watch?v=Fa8E3tCDIpo&feature=player_embedded> [Accessed 14
September 2012]..
2010. Human Resource Management-I Video Lecture Course, Human Resource Development A Scenario , [Video
Online ] Available at: <http://learnerstv.com/video/Free-video-Lecture-18517-Management.htm> [Accessed 25
September 2012].
Recommended Reading

Dessler, G., Human Resource Management, 10th ed., Person Publications.
Patnayak, B., 2005. Human Resource Management, 3rd ed., PHI publications.
Venkata Ratnam C. S. & Srivatsava, B. K., Personnel Management and Human Resources, Tata Mc-Graw
Hill.
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Self Assessment
1. _____________________is revealed by what individuals and groups say and do to show an interest in,
understanding personal identification with work-team survival and success.
a. Morale
b. Commitment
c. Spirit
d. Zeal
2. ____________ is evinced by surliness, insubordination, a feeling of discouragement and dislike of the job,
company and associates.
a. Low morale
b. High morale
c. Poor morale
d. Morale
3. ________________ is a condition in which individuals and groups voluntarily make a reasonable subordination
of their personal objectives for their organisation.
a. Willingness and confidence
b. Attitude and patiences
c. Exceptions and reality
d. Good organisational morale
4. The content of morale could be broadly divided into
a. four
group.
b. three
c. two
d. seven
5. The___________ which include his levels of indigence and education and his type of personality-largely
determines the way in which he seeks to fulfill his needs for belonging, esteem, and self realisation.
a. employees background
b. employees morale
c. employees salary
d. employees job satisfaction
6. One of the most unpredictable effects of the level of morale is its impact on worker________.
a. productivity
b. creativity
c. ability
d. capability
7. A_____________tends to utilise fully the skills, initiative, judgment and training of its members and through
such utilisation succeeds in building up these and other qualities in everyone.
a. morale- building group
b. demoralising institute
c. morale-building organisation
d. morale-boosting organisation
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8. It is assumed that_________ morale and_________ productivity go hand in hand.

a. high , high
b. high, low
c. low , high
d. low, varying
9. Which of the following statements is true?
a. In unguided interview the participants are encouraged to talk freely about what he thinks about the organisation
and its people
b. In unguided interview the participants are forced to talk freely about what he thinks about the organisation
and its people
c. In unguided interview the participants are encouraged to talk freely about what he thinks about the organisation
and its people
d. In unguided interview the participants are discouraged to talk freely about what he thinks about the
organisation and its people
10. Guided interview method emphasises mainly on the questions set out before hand by consulting the .
a. employees
b. employers
c. HR
d. higher management
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Chapter XI
Motivation
Aim

introduce the concept of motivation
evaluate different types of theories of motivation
explain the significance of motivation
Objectives

explain the need of motivation for an employee
highlight the effect of motivation in an organisation
evaluate the theory of motivation
Learning outcome

understand the concept of motivation
identify the importance of motivation
recognise motivation techniques in his organisation
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11.1 Introduction
Management involves creation and maintenance of environment.This environment is needed for performance of
individuals working together in groups. This group performs towards accomplishment of common objectives. Hence
the managers cannot perform their functions without knowing what motivates people.
11.2 Concept of Motivation

Less skilled individuals are motivated to show good performance effectively unless which they may not achieve
the level of performance that is desired from them
Managerial people are always facing the problems of motivating their subordinates to release their potential
most effectively
It is necessary to motivate employees as this will assure that the goals of the organisation are achieved
Knowledge of the motivational process provides the basis for understanding what people do and why
Motivation is positively correlated with concepts of:

level of aspiration
degree of commitment
inclination towards action
Motivation is defined as, You can buy a mans time, you can buy a mans physical presence at a given place,
but you cannot buy his enthusiasm, initiative and loyalty.
Motivation aims at transforming the ability to do into the will to do
Motivation has been defined as the act of stimulating someone to take a desired course of action-to push the
right button to get a desired reaction
Motivation includes a stimulus and desired results
Motivation concerns itself with the will to work
Motivation also seeks to know the motives for work and to find out ways and means, by which their realisation
can be helped and encouraged
11.3 Definition of Motivation by Different Author

Sr.no
1.
2.
3.
4.
Authors names
Mr. Urwick
Michael Jucius
James Driver
Definition
The dynamic aspect of management
Act of stimulating someone to get a desired course of action
The phenomena involved in the operation of incentives and drives
P.T.Young
Of arousing or initiating behavior
Of sustaining an activity in progress
Of channeling of activity in the given course.
Table 11.1 Motivation by different author

A mans performance on a specific task is a function of his skill and motivation

Thus it can be said that p=f(S, M),
Where, P=performance, S= skill and M=motivation.
Skill does not guarantee that the individual will put forth his/her best effort
There is another variable, namely motivation which finally determines the effort which can be expected from
such employees
In laboratory experiments it was found that other things being equal, performance level is higher if the motivation
level is higher
The key to understand motivation lies in the meaning and relationships between needs, drives and goals
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11.4 The Motivation Cycle

The motivation cycle comprises of three terms needs, drives and goals. For better understanding refer the diagram
given below:
NEEDS
(Deprivation)
GOALS
(Reduction of)
Drives
DRIVES
(Deprivation with)
Direction
Fig. 11.1 Motivation cycle

Needs

The one word definition of a need is efficiency
In the domestic sense, needs are created whenever there is a physiological or psychological imbalance For
example, a need exists when a cell in the body is deprived of food and water or when the human personality is
deprived of other persons who serve as friends or comparisons
Drives

Drives are set up to alleviate needs
A drive can be defined as deficiency with direction
Drives are action-oriented and provide an energising thrust toward goalac complishment
The examples of the needs for food and water are translated into hunger and thirst drives, and need for friends
becomes a drive for affiliation
Goals

At the end of the motivation cycle is the goal.
A goal in the motivation cycle can be defined as anything which will alleviate a need and reduce a drive
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11.5 Working Situation of Employees

Motivation may range from a threatening gesture to a tradition inspired activity

The atmosphere of working situation
The past history of human relations in a company
Expectations about the future as well as a wage incentive plan are stimuli to action. It is believed that the full
force of motivation lies in the person doing the motivation
11.6 Motivation Techniques

According to Michael Jucius, management may proceed to motivate employees. This activity may be divided into
two parts:

What is to be done?
How and why what is done?
The former are steps in motivation and the latter are rules governing the steps. Both are performed
simultaneously
11.7 Steps of Motivation

Size up situation requiring motivation

The first stage of motivation is to make sure of motivational needs
Every employee needs motivation
However, all people do not react in exactly the same way to the same stimuli
Keeping this in mind the executive shall size up how much and what kind of motivation is needed and when
and by which individuals
Prepare a set of motivating tools

Having determined the motivational needs of a particular person or group an executive must have a list from
which (s)he should select and apply specific tools of motivation
An executive from his personal experience should prepare a list of what devices are likely to work with what
type of people and under what circumstances
Selecting and applying the appropriate motivator

Proper application of motivational plan is very important
This involves selection of following things:

The appropriate technique
The method of application
The timing and location of applications
Having selected appropriate techniques, thought must be given to its application
Follow-up the results of the application

The last stage of motivation is to follow-up the results of the application of the plan
The primary objective is to determine whether an employee has been motivated or not
If not, some other technique should be tried
A secondary purpose of follow-up is to evaluate motivation plans for future guidance
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Rules of Motivating
In following the steps of motivation a manager should be guided by some fundamental rules which should be based
upon the following principles:

Self-interest and Motivation:

Undoubtedly, motivation is mainly built on selfishness
To seek some other basis of motivation would be to ignore the real nature of man
The aim should be to learn more about selfishness
Attainability

Motivation must establish attainable goals
What is prescribed for a particular person must be attainable by him
This does not mean that the goal is realised at once
Such goals as promotion or desirable transfer may take years to attain. But it must be within reach
Based on a fact-finding study conducted at several manufacturing plants of the General Electric Company, Sorcher and
Meyer have made the following recommendations for improving the motivation of employees in routine jobs:

Provide assembly line employees with more than minimum training. Providing some sort of formal training for
a factory employee beyond the minimum requirement should result in greater personal involvement in the job
Create sub-goals to measure accomplishment. A sense of competition is important for motivation.
When people work towards clearly defined goals they perform better. Moreover, they are likely to be more
interested in the work which will reduce monotony and mental fatigue
Provide regular feedback on performance. Psychological studies show that people perform better when they
receive positive as well as negative feedback about their performance on a regular basis
Maintain a neat and orderly work area. If the foreman does not care about neatness, employees may feel that
they need not care about it and this attitude may also affect the quality of their work
Arrange work situations so that conversation between employees is either easy or impossible
Experienced workers can do routine jobs with little attention to the task
Conversation while working may reduce monotony and fatigue and thus have a favorable effect on output
If possible, increase the number of operations performed by one employee
This can be done by the simplification of manual operations. It offers several advantages, viz.
The risk of errors is reduced
Training costs are minimised
Management can hire employees at lower wages
Structure jobs, so that workers can, at least occasionally move about the work area
Besides job rotation, there are other ways to provide for physical movement such as setting employees
secure their own tools or by adding operations which require some physical activities
Explore ways to assign greater personal responsibility
Increased responsibility means greater self-esteem and greater job meaningfulness viii. One way to enlarge
responsibility is to let an employee inspect his/her own work
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11.8 Theories of Motivation

As a leader, one need to interact with their followers, peers, seniors, and others whose support they need in
order to accomplish their goals
To gain their support, one must be able to understand and motivate them
To understand and motivate people, you must know human nature
Human nature is the common qualities of all human beings
People behave according to certain principles of human nature
Human needs are an important part of human nature
Values beliefs and customs differ from country to country and even within group to group, but in general, all
people have a few basic needs
As a leader you must understand these needs because they can be powerful motivators
11.9 Maslows Hierarchy of Needs

Unlike others researchers in the earlier days of psychology, Abraham Maslow based his theory of human needs
on creative people who used all their talents, potential, and capabilities (Bootzin, Loftus, Zajonc, Hall, 1983)
His methodology differed from most other psychological researchers at that time in which these researchers
mainly observed mentally unhealthy people
Maslow (1970) felt that human needs were arranged in a hierarchical order that could be divided into two major
groups:
Basic needs
Meta needs (higher order needs)
Basic needs
The Basic needs are physiological, such as food, water, and sleep; and psychological, such as affection,
security and self-esteem
These basic needs are also called deficiency needs because if they are not met by an individual, then that
person will strive to make up the deficiency
Meta needs
Meta needs or being needs (growth needs)
These include justice, goodness, beauty, order, unity etc.
Basic needs normally take priority over these Meta needs
For example, a person who lacks food or water will not normally attend to justice or beauty needs
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These needs are normally listed in a hierarchical and it as follows:

Diagram of Maslows hierarchy of need:
Self-Actualization
Esteem
Belongingness and love
Safety
Physiological
Fig. 11.2 Maslows hierarchy of need

Level
5th level
Title
Description

It knows exactly who you are, where you are going, and
what you want to accomplish
It is a state of well-being
Feeling of moving up in world, recognition, few doubts

about self
Belong to a group, close friends to confide with
Feels free from immediate danger
Food, water, shelter.
Self-actualisation
4th level
Esteem
3rd level
2nd level
1st level
Belongingness and love

Safety
Physiological
Table 11.2 Maslow hierarchy of need

It should be noted that almost no one stays in one particular hierarchy for an extended period
We constantly strive to move up, while at the same time various forces outside our control try to push us
down
Those on top get pushed down for short time periods, i.e. death of a loved-one or an idea that does not work,
while those on the bottom get pushed up, i.e., come across a small prize
Our goal as leaders therefore is to help people obtain the skills and knowledge that will push them up the
hierarchy on a more permanent basis
People who have their basic needs met become much better workers
As now these workers are able to concentrate on fulfilling the visions put forth to them
Moreover, they will not have to consistently keep struggling to meet their goals
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11.10 McGregors Theory X and Theory Y

The character of an enterprise depends on the assumptions of the management in controlling its human
resources
Douglas McGregor (1957) developed a philosophical view of humankind with his Theory X and Theory Y
These two theories represent the extreme ranges of assumption; there are a number of possible combinations
on the continuum
The managerial attitudes and supervisory practices resulting from such assumption have an important bearing
on employees behavior
11.10.1 Theory X

People have an inherent dislike for work and will avoid it whenever possible.
People must be forced, controlled, directed, or threatened with punishment in order to get them to achieve the
organisational objectives.
People prefer to be directed, do not want responsibility, and have little or no ambition
In an organisation with Theory X assumptions, managements role is to coerce and control employees
Theory X is the view that traditional management has taken towards the workforce.
11.10.2 Theory Y

People will exercise self-direction if they are committed to the objectives (they are NOT lazy).
Commitment to objectives is a function of the rewards associated with their achievement.
People learn to accept and seek responsibility.
Creativity, ingenuity, and imagination are widely distributed among the population People are capable of using
these abilities to solve an organisational problem.
People have potential. in an organisation with Theory Y assumptions, managements role is to develop the
potential in employees and help them to release that potential towards common goals.
Most organisations are now taking the enlightened view of theory Y (even though they might not be very good at
it). A boss can be viewed as taking the theory X approach, while a leader takes the theory Y approach.
11.10.3 Theory Z

Prof. William G.Ouchi has developed theory Z
This theory is based on the comparative study of Japanese and American management practices
Theory Z describes how Japanese management practices can be adopted to the environment of the other countries
especially in the United States
This theory focuses attention on the organisational behavior side of management
Theory Z can be treated as a model for motivation
This theory believes in the philosophy of management
Both major and minor decisions are taken through consensus in the truly democratic and dynamic
management
Besides, family relationship prevails between the employer and employees
In other words, close, Co-operative and trust-worthy relationship prevails among workers, managers and other
groups
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11.10.4 Some Important Points

Both theories X and Y make certain not-so-valid judgments
They may not reflect mans inherent nature; rather such behavior in man is in part of management philosophy
and practices
Theory Y particularly emphasises self-actualisation and freedom, implying that all people seek freedom, while
there are definite indications that all people may not feel comfortable with freedom because freedom entails
responsibility and independent decision-making which people may not subscribe to
In an organisation, depending on a situation, either the theory X or theory Y could be effectively applied
However, in choosing one or the other managers have to bear the implications in mind so that problem such as
interpersonal or interdepartmental conflict can be avoided
11.11 Herzbergs Hygiene & Motivational Factors

Hygiene or Dissatisfying factors must be present in the job before motivators can be used to stimulate a person
i.e. one cannot use motivators until all the hygiene factors are met
Herzbergs needs are specifically job related and reflect some of the distinct things that people want from their
work as opposed to Maslows Hierarchy of Needs which reflect all the needs in a persons life
Dissatisfiers
Motivators
Working
Conditions
Policies and
administration
ve practices
Salary and
Benifits
Supervision
Status
Job Security
Recognition
Achievement
Advancement
Growth
Responsibility
Job Challenge
Co-workers
Personal Life
Fig. 11.3 Herzbergs hygiene and motivational factors

11.11.1 Hygiene or Dissatisfiers

Working conditions
Policies and administrative practices
Salary and Benefits
Supervision
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Status
Job security
Co-workers
Personal life
11.11.2 Motivators or Satisfiers

Recognition
Achievement
Advancement
Growth
Responsibility
Job challenge
11.12 Analysis of Maslow, Herzberg, and McGregors Theories

Herzbergs theory is a micro version of Maslows theory that is focused in the work environment
McGregors Theory X is based on workers caught in the lower levels (1 to 3) of Maslows theory due to
bad management practices, while his Theory Y is for workers who have gone above level 3 with the help of
management
McGregors Theory X is also based on workers caught in Herzbergs Hygiene Dissatisfies, while Theory Y is
based on workers who are in the Motivators or Satisfiers section
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Summary

Motivation is defined as, You can buy a mans time, you can buy a mans physical presence at a given place,
but you cannot buy his enthusiasm, initiative and loyalty.
Less skilled individuals are motivated to show good performance effectively unless which they may not achieve
the level of performance that is desired from them.
The motivation cycle comprises of three terms needs, drives and goals.
The one word definition of a need is efficiency.
A drive can be defined as deficiency with direction.
A goal in the motivation cycle can be defined as anything which will alleviate a need and reduce a drive.
Good organisation morale is a condition in which individuals and groups voluntarily make a reasonable
subordinate of their personal object of their organisation.
The building of morale is a not a mechanical problem that could be solved by either rewards or punishment.
The study of human motivation is of great importance in any theory of management.
Employees must be motivated time to time, so that they will be able to achieve the desired target.
Motivation aims at transforming the ability to do into the will to do.
Maslow View an individuals motivation as a pre-determined order of needs which he strives to satisfy.
The Basic needs are physiological, such as food, water, and sleep; and psychological, such as affection, security
and self-esteem.
Douglas McGregor (1957) developed a philosophical view of humankind with his Theory X and Theory Y.
These two theories represent the extreme ranges of assumption; there are a number of possible combinations
on the continuum.
Theory X is the view that traditional management has taken towards the workforce.
Theory Y assumptions, managements role is to develop the potential in employees and help them to release
that potential towards common goals.
Theory Z can be treated as a model for motivation. This theory believes in the philosophy of management.
Herzbergs needs are specifically job related and reflect some of the distinct things that people want from their
work as opposed to Maslows Hierarchy of Needs which reflect all the needs in a persons life.
References

Rao, P.S., 2010. Essentials of Human Resource Management and Industrial Relations. Himalaya Publishing
House.
Wilton, N., 2010. An Introduction to Human Resource Management, SAGE.
Motivation and its Theories , [pdf] Available at: <http://management consulting courses.com/
Lesson20Motivation&ItsTheories.pdf> [Accessed 26 October 2010].
Guide on Staff Motivation [pdf] Available at: <http://www.csb.gov.hk/hkgcsb/hrm/pdf-file/e-motivation.pdf>

[Accessed 25 September 2012]
2010. Human Resource Management-I Video Lecture Course, Recruitment and Selection, [Video Online]
Available at: <http://learnerstv.com/video/Free-video-Lecture-10029-Management.htm> [Accessed 25 September
2012].
2010. Human Resource Management-I Video Lecture Course, Performance Evaluation and Appraisal - I, [Video
Online] Available at: <http://learnerstv.com/video/Free-video-Lecture-10030-Management.htm> [Accessed 25
September 2012].
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Recommended Reading

Suri, R. K. & Chhabra, TN., Industrial Psychology, Sun India Publications, New Delhi.
French,V., The Personnel Management Process. Houghton, Boston.
Parweek, U. & Rao T.V., 1999. Designing and Managing Human Resource Systems, Anmol Publishers.
123/uts
Self Assessment
1. It is necessary to_____________ employees, as it will assure that the goals of the organisation will be
achieved.
a. motivate
b. encourage
c. respect
d. inspire
2. You can buy a mans time, you can buy a mans physical presence at a given place, but you cannot buy his
___________________, initiative and loyalty.
a. patience
b. ability
c. enthusiasm
d. experience
3. Which of the following sentences is true:
a. Motivation aims at transforming the ability to do into the will to do.
b. Motivation aims at dominating the ability to do into the will to do.
c. Motivation aims at confusing the ability to do into the will to do.
d. Motivation aims at transforming the ability to do into the will not do.
4. Motivated employees who are in a state of________________.
a. happiness
b. curious
c. confuse
d. tension
5. Motivation has been defined as the act of stimulating someone to take a desired course of action-to push the
right button to get a desired_____________.
a. feedback
b. reaction
c. work done
d. action
6. Who has defined motivation as this, The dynamic aspect of management?
a. P.T Young
b. Mr. Urwick
c. Michael Jucius
d. James Driver
7. _____________ does not guarantee that the individual will put forth his/her best effort.
a. Morale
b. Education
c. Experience
d. Skill
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8. Needs are created whenever there is a physiological or psychological_______________.

a. imbalance
b. balance
c. steadiness
d. stable
9. A drive can be defined as deficiency with_____________.
a. direction
b. motivation
c. skills
d. patiences
10. A_____________ in the motivation cycle can be defined as anything which will alleviate a need and reduce a
drive.
a. morale
b. goal
c. aim
d. target
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Chapter XII
Grievance and Discipline Procedure
Aim

explain the grievances and discipline procedure
elucidate general practices that organisations use for grievances and discipline
enlist general guidelines of a disciplinary action
Objectives

explain pre-requisites of a grievance procedure
explain the meaning of grievances and reason as to why they arise
enlist the importance of grievances handling
Learning outcome

understand the critical role of management in maintaining discipline and dealing with grievances
identify appropriate procedure for grievance and discipline
recognise the procedure of grievances and discipline
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12.1 Introduction
Definition of Grievances

Definition of grievances changes form company to company and from author to author. Please refer the table
below for definition made by different authors
Grievance is nothing but an indication of dissatisfaction of employees in an organisation

Sr.
No.
1.
Name of author
Definition
Dale Yoder
A written complaint filled by an employee and claiming unfair treatment.
2.
Prof. Jucious
Any discontent or dissatisfaction, whether expressed or not and whether valid

or not, arising out of anything connected with the company that an employee
thinks, believes or even feels unfair, unjust or inequitable.
3.
Prof Pigors and Meyers
Dissatisfaction of an employees is anything that disturbs the employee,

whether expressed or not.
Table 12.1 Definition of grievances
International Labor Organisation classifies the grievances as a complaint of one or more workers with respect to:

Wages and allowances
Condition of work
Interpretation of services stipulations
Covering such areas overtime, leaves, transfer, promotion, seniority, job assignment and termination of
service
National Commission of labor states that complaints affecting one or more individual workers in respect of their:

Wage payments
Overtime
Leave
Transfer
Promotion
Seniority
Work assignment
Discharge
All above mentioned points would contribute grievances.
12.2 Causes of Grievance Arise

A grievance is always a symbol of some malfunctioning or maladjustment. Due to this a talented and skillful manager
can always find out the real or submerged reasons for a grievance
Following are the causes of grievances:

Promotion
Amenities
Continuity of services
Compensation
Disciplinary action
Fines
Increments
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Wages
Acting promotion
Recovery of dues
Safety appliance
Superannuation
Supersession
Transfer
Victimization
Condition of work
12.3 Pre-requisites of a Grievance Procedure

The efficiency of a grievance procedure depends upon the fulfillment of certain pre-requisites. These are as
follows:
Conformity with prevailing legislation
While designing the grievances procedure due consideration must be given to the existing statutory provisions.
Clarity

There should be clarity regarding each and every aspect of the grievances procedure
An aggrieved employee must be informed about:

The person to whom a representation can be made
The form of submission in written or oral about the aggrieved employee
The time limit for the redressal of grievance
Similarly, the redressing authority should be very clear about what is expected from them, what measures they
can take, and the limit within which they should resort to an action.
Simplicity

The grievances method should be simple
Every employee must understand different stages of the procedure
Promptness

The promptness with which a grievance is processed adds further to the success of the grievance procedure
Since justice delayed is justice denied the procedure should aim at rapid disposal of the grievances
Training

The success of the procedure also depends upon imparting training to the supervisors and union representative
in handling grievances
Follow-up

The successful working of a grievance procedure depends upon a proper follow-up by the personnel
department
The department should periodically review the procedure and introduce the essential structural changes making
it more effective
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12.4 Grievance Handling Procedure

Following is the procedure to handle grienvance

A grievance should be dealt within the limits of the first line supervisor
The appellate authority should be made clear to the employee so that if an individual cannot get satisfaction
from his/her immediate supervisor, (s)he should know the next step
The grievance should be dealt speedily
If the grievance is against an instruction given by a superior in the interest of order and discipline, the instruction
must be carried out first and then only employee can register his/her protest
12.5 Benefits of the Grievance Handling

Following are the benefits of grievance gandling

It encourages employees to raise concerns without fear of reprisal
It provides a fair and speedy means of dealing with complaints
It prevents minor disagreements developing into serious disputes
It saves employers time and money as solutions are found for workplace problems
It helps to build an organisational climate, based on openness and trust
12.6 Grievance Handling

To understand the Grievance handling procedure refer diagram given below:

ARBITRATION
TOP MANAGEMENT
TOP UNION
LEADERSHIP
MIDDLE
MANAGEMENT
COMPANY UNION
GRIEVANCE
COMMITTEE
SUPERVISOR
UNION STEWARD
AGGRIEVED
EMPLOYEE
Fig. 12.1 Grievance handling procedure

12.6.1 Initial Step

The greatest opportunity for the settlement of a complaint or grievance lies in the initial step of the procedure
If there is no formal procedure and the firm announces an open-door policy then it is possible that the supervisors
may get by passed by the workers who would take grievance directly to the higher level of management
Such bypassing not only undermines the supervisors authority but also creates an atmosphere of win-or-loose
in which both the workers and supervisors will try to prove the other wrong
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12.6.2 Intermediate Step

As shown in diagram (above), the next step on the management side of the procedure is to submit the dispute to
middle management.

Involving the supervisors middle and senior-line managers in the grievance process helps in two ways
Initially, social barrier between various categories are broken by personal contact and mutual understanding
Various problem-solving methods are carried by the organisation to overcome the problem
Some decision-making committees are appointed by the organisation
At the union side higher personnel in the union hierarchy take charge of the union.
Business agent, a full-time negotiations specialist of the union, takes over the intermediate or sometimes thefinal
steps.
Business agent also gives best remedies over the problem.
The line manger often considers grievance processing a minor, incidental, and distasteful duty.
12.6.3 Final Company-Union Step

Usually, the final step to be undertaken by the company and union is a discussion of the grievance between
representative of top management and top union officials.
12.7 Arbitration

In case, the grievance has not been settled by top management and top union leadership, three possibilities
remain:
The union can temporarily or permanently drop the issues b. The union can call a strike if the contract
permits
The case may be submitted to impartial arbitrator
Arbitration is usually handled by either a single individual or a panel of three
(S) He can make decision of the dispute brought to them by the union
Generally, the person may be acceptable by both union and management
It is important that no undue influence should have a bearing on his/her deliberations
12.8 Concept of the Discipline

During the last decade, the growth of industries has been hampered by indiscipline
Maintenances of discipline in an organisation are of paramount importance for its smooth running and
survival
During the early stages of industrialisation, labor was exploited i.e.

Child employment
Longer working hours
Inhuman and unhealthy working conditions
Low wages
Absences of safety
Welfare measures were quite common
The labor, majority being illiterate had to seek outside help to solve their problem
The trade unions, instead of helping in some cases, tried to fulfill their own needs
This led to unlawful activities (strikes, gheraos) and indiscipline in industries
Further with the emergence of union, inter-union rivalry is prevalent in most of the public and private sector
industries
These factors lead to indiscipline among workmen
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The rapid industrial growth in the country results in many problem. They are as follows:
Arising out of social changes
Displacement from familiar environment
Lack of adjustment to industrial atmosphere
Changes in living condition
New stresses and strains of industries disputes
Indiscipline and violence, etc
12.9 Principles for Maintenance of Discipline

The discipline unit deals with the principles of maintenance of discipline and basic ingredients or guidelines of a
disciplinary action.
12.10 Meaning and Objective of Discipline

Discipline is the observance of principles, rules or any other laid down procedure, practices, Witten or otherwise
in the organisation by the employees or group of employees, to whom these apply, for smooth and effective
functioning of the organisation
Refer the table given below for definition of discipline:

Sr.
No
Name of the Author
Definition
Dr.Spriegal
Discipline is the force that prompts an individual or a group to observe

the rules, regulations and procedures which are deemed to be necessary to the
attainment of an objective; it is fear of force which restrains an individual or
a group from doing things which are deemed to be destructive of group objectives. It is also the exercise of restraint or the enforcement of penalties for the
violation of group regulations.
2.
Bremblett, Earl R
Discipline in the board sense means orderliness-the opposite of confusion
3.
Calhoon. Richard.D
Discipline may be considered as a force that prompts individuals or groups to

observe the rules, regulation and procedures which are deemed to be necessary
for the effective functioning of an organisation.
1.
Table 12.2 Definition of discipline

Websters dictionary gives the meaning of the word discipline as follows:
It is the training that correct moulds, strengthens or perfects
It is the control gained by enforcing Obedience
It is punishment or chastisement.
12.11 The Aims and Objectives of Discipline

To accept the rules, regulations and procedures of an organisation, so that organisational goals may be attained

To impact an element of certainty despite several differences in informal behavior patterns and other related
changed in an organisation
To develop among the employees a spirit of tolerance and a desire to make adjustments
To give and seek direction, and responsibility
To create an atmosphere of respect for the human personality and human relations
To increase the working efficiency and moral of the employees so that their productivity is stepped up and the
cost of production brought down to improve the quality of production
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12.12 Disciplinary Procedure

Disciplinary procedure in Indian industries comprise as follows:

Issuing a letter of charge to the employee calling upon him/her for an explanation
Consideration of the explanation by an employee
Issuance of show cause notice to the employees
Holding of a full-fledged enquiry by an organisation
Considering the enquiry proceedings and findings and making final order of punishment
Follow-up will help an employee to avoid the mistake made by him/her previously
12.13 Basic Ingredients or Guidelines of a Disciplinary Action

The principal ingredients of a sound disciplinary system are:
Location of responsibility:

The responsibility for maintaining disciplines should be entrusted to a responsible person for e.g. line
executive
The line executive should issue only verbal and written warnings
In serious cases like suspension only the industrial relation officer should be consulted
Proper formulation and communication of rules
Rules and regulation should be reasonable
Equal treatment to all the employees even defaulters should be treated alike
Disciplinary action should be taken in private
Importance of promptness in taking disciplinary action
An individual is assume to be innocent until and unless (s)he is proved guilty
Before taking any disciplinary action, it should be made sure to get and keep adequate records of offences and
warnings
Action should be taken in cool atmosphere
Natural justice is accepted
After a disciplinary action has been taken by the supervisor, (s)he should treat subordinates in a manner
Negative motivation should be handled in a positive manner
12.14 Disciplinary:Action Penalties

There are varying penalties for first, second and third offenses of the same rule. Among the penalties available in
business are:

Oral reprimand
Written reprimand
Loss of privileges
Fines
Lay off
Demotion
Discharge
12.15 Procedure for Disciplinary

Though there is no specific rules to be followed, the following rules are taken into consideration:

An accurate statement of the disciplinary problem
Collection of data or fact bearing on the case
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Selection of tentative penalties to be imposed
Choice of the penalty
Application of the penalty
Follow-up on the disciplinary action
12.15.1 An Accurate Statement of the Disciplinary Problem

The first step is to ascertain the problem by seeking answer to the following questions:

Does this case call for a disciplinary action?
What exactly is the nature of the violation or offence?
Under what-condition did it occur?
Which individual/s was/were involved in it?
When, or how often, did the violation occur?
12.15.2 Collection of Data or Fact Bearing on the Case

Before any action taken in a case, it is essential to gather all the fact about it
A through examination of the case should be made within the stipulated time limit
12.15.3 Selection of Tentative Penalty

The kind of the penalty to be imposed for an offence should be determine before hand should it be simple reprimand,
a financial or non-financial penalty Or should it be a demotion, temporary lay-off or outright discharge.
12.15.4 Choice of Penalty
When a decision has been taken to impose a penalty, the punishment to be awarded should be such as would
prevent

Application of penalty: The application of penalty involves a positive and assured attitude on the part of the
management.
Follow-up on disciplinary action: The ultimate purpose of a disciplinary action is to maintain discipline, to
ensure productivity, and avoid a repetition of the offense.
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Summary

A grievance is always a symbol of some malfunctioning or maladjustment.
Good discipline might be described as orderly conducts based on definite standards catalyzed by effective
leadership.
As far as possible, all the rules should be framed in co-operation and collaboration with the representatives of
employees.
Rules should be uniformly enforced if they are to be effective.
If the penalty is imposed long after a violation of rules has been committed, it loses its positive and corrective
influence.
Grievance is nothing but an indication of dissatisfaction of employees in an organisation.
Maintenances of discipline in an organisation are of paramount importance for its smooth running and
survival.
Aaccept the rules, regulations and procedures of an organisation, so that organisational goals may be attained.
References

Rao, P. S., 2010. Essentials of Human Resource Management and Industrial Relations. Himalaya Publishing
House.
Wilton, N., 2010. An Introduction to Human Resource Management, SAGE.
Disciplinary and Grievance Procedures [pdf] Available at: <http://www.kent.ac.uk/hr-staffinformation/

documents/policies/disciplinary/Disciplinary-policy-grades-1to6.pdf> [Accessed 25 September 2012]
Managers Guide:Grievance Investigations [pdf] Available at: <http://www.kent.ac.uk/hr-staffinformation/

documents/policies/grievance/Grievance%20Guidance%20for%20Managers%20Grades%201-6.pdf> [Accessed
25 September 2012].
2010. Human Resource Management-I Video Lecture Course, Human Resource Planning - I, [Video Online]
2012].
2010. Human Resource Management-I Video Lecture Course, Human Resource Planning - II, [Video Online]
2012].
Recommended Reading

De Cenzo, D. A. & Robin, S. P.,1997. Personnel /Human Resource Management. McGraw Hill.
Parweek, U. & Rao, T.V., 1999. Designing and Managing Human Resource Systems. Anmol Publishers.
Verma, P., Personnel Management in Indian Organisations, Oxford & IBM Publishing Co. Ltd.
134/uts
Self Assessment
1. Who has defined grievance as, A written complaint filled by an employee and claiming unfair treatment?
a. Dale Yoder
b. Prof. Jucious
c. Prof. Pigors
d. Prof. Meyers
2. Which of the following statements is true?
a. A grievance is always a symbol of some malfunctioning or maladjustment.
b. A grievance is always a symbol of some manipulation or maladjustment.
c. A grievance is always a symbol of good organisation.
d. A grievance is always a symbol of some good HR management.
3. The grievances method should be____________.
a. complex
b. simple
c. messy
d. difficult
4. The successful working of a grievance procedure depends upon a proper __________by the personnel
department.
a. follow-up
b. records
c. malfunctioning
d. adjustment
5. A grievance should be dealt within the limits of the
a. first line
supervisor.
b. second line
c. last line
d. in-between
6. It encourages employees to raise concerns without fear of_____________.
a. revenge
b. settlement
c. reprisal
d. conclusion
7. Who has defined discipline as, Discipline in the board sense means orderliness-the opposite of confusion?
a. Dr.Spriegal
b. Bremblett, Earl R
c. Calhoon.
d. Richard.D
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8. The Websters dictionary gives the meaning of the word discipline as, It is the
strengthens or perfects.
a. preparation
that correct moulds,
b. grouping
c. punishment
d. training
9. The efficiency of a grievance procedure depends upon the___________of certain pre-requisites.
a. execution
b. skills
c. fulfillment
d. qualification
10. The kind of the penalty to be imposed for an offence should be determined____________.
a. before hand
b. after procedure is over
c. in between
d. after verdict is given
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Chapter XIII
Group and Leadership
Aim

enlist the types of groups
evaluate the effect of group and leadership on organisation and on employees
explain the rules and regulations for groups and leaders
Objectives

outline the concept of groups and leadership
describe the need for groups and leaders
explain the activities of group and leadership
Learning outcome
At the end of the chapter, you will be able to:

understand the role of groups and leaders in an organisation
identify the job responsibility of leaders and groups
understand the need for leaders and groups in an organisation
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13.1 Concept of Group

A group refers to two or more persons who interact for a common explicit purpose
A mere collection of individuals assembled in a place like on the street, at a bus stand, or in railway station,
waiting room, etc. are not called a group as they are physically gathered together
These groups do not jointly pursue a common objective or share a common feeling
13.1.1 Definition of Group

Sr. No Author Name
Definition
1.
Kimball Young
Two or more persons in a state of social interaction
2.
T.M.Newcomb
A group consists of two or more persons who share norms about certain
things with one another and whose social roles are closely interlocking
3.
W.J.H. Sprott
A group is plurality of persons who interact with anyone else.

Table 13.1 Definition of group
13.2 Characteristic of a Group

The necessary characteristic of a group are as follows:

Two or more people who interact with one another share some common ideology see themselves as a group
The second characteristic means, the members of a group occasionally meet, talk, and do things together
Third characteristic means, the members of a group have something in common like common goals, common
threat, security concern, etc
Fourth characteristic means, people who interact with each other and who share a common ideology are attracted
to one another
13.3 Group Fulfills the Needs of its Members

Affinitive needs of an individual are fulfilled by the group through friendship between individuals
A group also fulfills egoistic needs of an individual by developing self-esteem and status
A group fulfills functional needs of its members by helping individuals in their daily activities, adjusting work
routines and avoiding boredom
Cognitive needs may be satisfied by motivation
13.4 Group Serves the Purposes

Group is a means for affiliation needs like needs for friendship, love and support
A group is a means of developing a sense of identity and maintaining self-esteem
It is a means of establishing and testing reality through developing consensus among group members
It is a means of increasing security and power to handle a common enemy or threat
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13.5 Types of Groups

Groups may be classified on the basis of the following criteria:

Purpose or goal
Extent of structuring
Legal organisation or setting
Groups may be formal or informal
All groups have the following common characteristics:

Have leaders
Have followers
Try to achieve some goal or goals
Have ideas about how to achieve the goals
Communicate expectations to members
Satisfy some needs of its members
13.6 Formal Work Groups

Organising means arranging people in such a pattern that they can perform the required activities
The purpose of managers organising responsibility is to create formal workgroups that are necessary to achieve
the goals of the organisation
The characteristics of formal workgroups are:

They are approved by some authority
There is a fixed division of labor
Individuals are assigned specific responsibilities
There are personal interactions between the group members
13.7 Informal Work Groups

Informal groups are not very well organised groups
They exist because the formal groups in an organisation do not satisfy human needs sufficiently
Informal workgroups provide a means of satisfaction for security needs, social needs and esteem needs
13.7.1 Informal Work Groups and Security Needs

Informal groups support their members and protect them from outside pressure and authority
The group protects an individual from unfriendly work environment
New employees try to find an existing group and join it for helping the orientation process
13.7.2 Informal Work Groups and Social Needs

Many jobs do not allow communication and interaction between workers
In this situation, people cannot make friends and are unable to satisfy their need for companionship
People want to belong to a small social group in which relationships are based on common interests and
values
Social groups occur in most of the companies
Members of a social group enjoy each others company
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13.7.3 Informal Work Groups and Esteem Needs

Informal groups are also a means of status or prestige for its members. This is especially true if:
The group is well known in the organisation
Outsiders want to join the group
It is difficult to achieve acceptance into the group
The informal group is a source of egoistic need satisfaction
The need to achieve can be partially satisfied by the informal group
13.7.4 Advantages of Informal Groups

Informal groups increase the employees sense of security and help them to do the work more effectively
Informal groups can help managers maintaining discipline
Informal groups help to maintain no time clock policy because the employees are highly motivated and also
there is peer pressure
So any individual cannot take undue advantage of this policy
13.7.5 Disadvantages of Informal Groups

The disadvantages of informal groups arise when the goals of the group do not match with the organisational
goals
This problem occurs when a planned change is implemented
The protection and social relationships provided by informal groups are in danger due to new plans that disturb
order and stability creating new procedures of standard and production moreover disturb the pattern of personal
interactions on the job
13.7.6 Elements of Group Behavior

Membership in the Group:
It is a process in which membership is provided to individuals on the basis of common interests and readiness to be
cooperative and follow group norms.
Emergent leadership
The informal leader performs two functions:

Starts action and provides direction
Tries to eliminate the differences of opinion within the group and makes effort so that the group achieves its
goals
Communicates the groups beliefs, policies, job, organisation, supervision and other matter to non-members
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Formal hierarchy

All groups have some formal arrangement
The sub-leaders communicate the message to the members of the group
The individuals performing leadership role possess prestige because of their role
Group has some activity or task to perform

A group does something which may be related to its job or not related to it
Interaction

All people interact with one another
During interaction one person responds to another
According to Berne, people interact with each other in terms of three psychological positions or behavioral
patterns known as ego status
These ego states are parent, adult and child
Persons interacting with a parent ego are protective (caring), dogmatic (strict), evaluative and righteous (honest
and respectable)
They prefer laws, rules and standards
People with adult ego state are based on reasons, looking for information and processing it and on factual
discussions
It views people as equal, worthy and reasonable human beings
The child ego state shows the conditions and experiences of childhood
It is dependent, rebellious (disobedient), selfish and sometimes creative
Group norms
Every group has some rules, norms, beliefs, traditions and attitudes that the group members must follow:
Norms are the ought tos of behavior. They are prescriptions for acceptable behavior determined by a group,
institution or society.----Luthens
Group norms are rules or guidelines of accepted behavior which are established by a group and used to monitor
the behavior of its members.----Argyle
Group cohesiveness

It is the degree of attraction that the group has for its members
Cohesiveness is shown by attitudes like loyalty to the group, a feeling of responsibility for group efforts,
friendliness
Member satisfaction:

The end result of group membership is satisfaction of members
In a survey of 37 studies, Heslin and Dumply have shown specific relationship between satisfactions of members
of work group
Perceived freedom to participate
Perceived goal attainment
Status consensus
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Perceived Freedom to Participate:

A members opinion of freedom to participate affects need satisfaction
Individuals who feel that they are active participators are more satisfied while those who feel that their freedom
to participate not important were less satisfied
Perceived Goal Attainment:

A group member s opinion of progress towards achievement of desired goals is related to member
satisfaction
Members of the groups which progressed towards goal achievement showed higher satisfaction while members
of the groups which are not progressing towards the achievement of goals showed lower satisfaction
Status Consensus

It is an agreement about the relative status of all group members
When the degree of status consensus within the group is low, members satisfaction is low
Status consensus is achieved in groups where the members consider group task specialist as competent
A leader plays an important role
A leadership role is performed by an individual who focuses on coordinating and maintaining the activities of
the group
13.8 Group Decision Making

Important decisions are taken by groups and not by individuals
Generally, group decision making is better than individual decision making
13.9 Advantages of Group Decision Making

Groups perform better than individuals in decision making because:

A wide range of alternatives and solutions are considered
Decisions taken in a group are well accepted and the level of commitment is also high
People accept a decision when they have contributed to decision making
13.10 Potential Problems with Group Decisions

Group decisions take longer time than individual decisions

Sometimes, group decision may be a compromise which gives no positive results
A dominant person in a group may dominate over other members and affect decision making
This is more common when group members are of unequal rank
A person with high rank tries to dictate over members with low rank
13.11 Problems of Individual Dominance

Avoid announcing your preferred solution while the group is working on the problem.

Listen carefully to suggestions from every member
Encourage every group member to participate
Try to achieve a good solution
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13.12 Group Dynamics

It is related to the interactions between group members in a social situation
It is concerned with getting knowledge of groups, how they develop, and their effect on individual members
and organisation
Thomas Harrell defines Group dynamic as, Group dynamics is an expression that describes the situation in
which people acting together in a group accomplish certain thing, either positively or negatively in a way that
cannot be explained adequately in terms of individual acting separately.
The word dynamics is derived from a Greek word which means force. Thus, group dynamics are the forces
working in a group
Many factors in the work environment affect group behavior. The two broad aspects are:

The physical environment, for example, plant, equipment, layout
The psycho-social environment, for example, worker needs reward systems, work group structure, supervisory
practices, work group norms, worker roles and attitudes
13.13 Principles of Group Dynamics

Principles of group dynamics (termed by Cartwright) are the norms that the group must follow to work
effectively.
These principles are as follows

There should be no barrier between the leaders and the followers
The leader (who changes others) and the follower (who are changed) should have a strong sense of belongingness
to the group
The group should be attractive to its members
It increases the groups influence on its members
A group member with higher prestige has a greater influence on other members of the group
Efforts to change individual members of a group will make them conform to the norms of the group
Pressure for changes in a group can be established by creating the perception that there is a need for change
Information related to the need for change, plans for change, and the results of change should be shared by all
members of the group
Changes in one part of the group may cause tension in other parts
This tension can be reduced by removing the change or making some adjustments
Cattell proposed seven theorems which show characteristics of synergy within a group:

Groups are formed to satisfy individual needs and stop to exist when this purpose is not solved
The total synergy of a group is the result of the attitudes of all members towards the group
Effective synergy may be aimed to achieve goals outside the group
Individual group members may also use groups to achieve personal goals; group goals may be secondary to
them
Group memberships may overlap, but the total synergy in the group remains constant
13.14 Definition of Leadership

According to Koontz and o Donnell It is the art of including the subordinates to accomplish their assignments
with zeal and confidence. Zeal reflects ardor, earnestness and intensity in execution of work; confidence reflects
experience and technical ability.
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13.15 Concept of Leadership

Managers are people who do things right, while leaders are people who do the right thing
Leadership is all about courage to dream big
Leadership is a complex process by which a person influences others to accomplish a mission, task, or objective
and directs the organisation in a way that makes it more cohesive and coherent
Leadership makes people want to achieve high goals and objectives, while, on the other hand, bosses tell people
to accomplish a task or objective
Leadership can be used for good or ill
Leadership skills can be perverted to pursue bad end
13.16 Characteristics of Leadership

Following are the characteristics of leadership:

Co-existence with follower ship
Responsibility
Understanding nature
Precedence
Situation
13.17 Co-existence with Followership

A leader cannot exist without following:

A leader exercises authority over the group, and it should be willingly group and it should be willingly accepted
by his followers
Leadership is not conferred or ordered but is one to be earned
13.18 Responsibility

A leader is expected to take full responsibility in all situations
He must steer the group clear of all difficulties
He has to assume responsibility for all actions of the group
13.19 Understanding Nature

Important feature of leadership is its nature to understand the feelings and problems of the group as a whole as
well as the individuals
Guide a leader is looked upon as a friend and a philosopher
A leader should strive to satisfy the personal and social needs of his/her followers, which is very much expected
by them
13.20 Situation

Leadership pattern changes according to the type of group and the situation in which the group is operating
A leader should know on the role to be adopted on different situations
13.21 Importance of Leadership

Initiates action
A leader communicates the policies and plans to the subordinates from where the work actually starts.
Motivation
A leader motivates the employees with economic and non-economic rewards and thereby gets the work from the
subordinates.
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Providing guidance
A leader guides by instructing the subordinates the way they have to perform their work effectively and
efficiently.
Creating confidence
Confidence is an important factor which can be achieved through expressing the work efforts to the subordinates,
explaining them clearly their role and giving them guidelines to achieve the goals effectively.
Building morale
A leader can be a morale booster by achieving full co-operation so that they perform with best of their abilities as
they work to achieve goals.
Building work environment
Management is getting things done from people. An efficient work environment helps in sound and stable growth.
He should listen to his subordinates problems and solve them. He should treat employees on humanitarian terms.
Co-ordination
Co-ordination can be achieved through reconciling personal interests with organisational goals. This synchronisation
can be achieved through proper and effective co-ordination which should be primary motive of a leader.
13.22 Impact of Leadership in an Organisation

Leadership and human behavior
Communication is very important because a leader coach, coordinate, counsel, evaluate, and supervise through this
process.
Leadership and Communication
Communication is very important because a leader coach, coordinate, counsel, evaluate, and supervise through this
process.
Leadership and motivation
A persons motivation is a combination of desire and energy directed at achieving a goal.
13.23 Leadership Theories

Following are the leadership theories:
13.23.1 Trait Approach
Keith Davis has summarised four of the major traits which might have an impact on successful organisational
leadership. They are as follows:
Intelligence

Research has shown that generally a leader has higher intelligence than the average intelligence of the
followers
However the leader cannot be exceedingly much more intelligent than his/her followers
Social maturity and breath

Leaders tend to be emotionally stable and mature and to have broad interests and activities
They have an assured, interests and activities
They have an assured, respectful self concept
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Inner motivation and achievement drives

Leaders have relatively intense motivational drives of the achievement type
Strive for drives of the intrinsic than extrinsic rewards
Human relations attitude

Successful leaders recognise the worth and dignity of their followers and are able to emphasise with them
According to research studies leaders possess consideration and are employee centered rather than production
centered
13.23.2 Behavior Approach

Autocratic

An autocratic leader is one who commands and expects compliance
(S)He is dogmatic and positive and leads by his/her ability to withhold or give rewards and punishment
Participative or supportive

The participative or supportive leadership behavior is based on the assumption that :
People essentially want to participate,
They want to accomplish and
They will work well if general supervision is employed
Instrumental or instrumental supportive:

Instrumental behavior of leadership emphasises the leaders role as a manager in the rational aspects of
management namely planning, organising, controlling etc.
13.23.3 Situation Approach

Stag Dill and his associates research findings revealed that leadership ability is heavily affected by situational
factors like their :
Job
The organisational environment in which they operated history of the enterprise
Community in which the organisation operates
Psychological climate of the group and their characteristics
Group member personalities and cultural influences and so on
13.24 Contingency Theories

The Fiedler Model

Fred E. Fiedler Argued that effectiveness depends on two interacting factor:

Leadership style
Degree to which the situation gives a leader to control and influence
There are three important tasks in leadership
The relationship between the leaders and followers
If the leaders are liked and respected they are more likely to have the support of others.
The structure of the task

If the task is clearly spelled out as to goals, methods and standards of performance then it is more likely that
leaders will be able to exert influence
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Position power

If an organisation or group confers powers on the leader for the purpose of getting the job done, then this may
well increase the influence of the leader.
13.25 Situational Leadership Theory

It is a contingency theory that focuses on followers readiness. Readiness refers to the extent to which people have
the ability and willingness to accomplish a specific task.

There are four stages of readiness:

Able and willing
Able and unwilling
Unable and willing
Unable and unwilling
13.26 The Path-Goal Theory

Path-goal theory identifies four kinds of leadership behaviors.
Directive leader behavior

Letting subordinates know what is expected of them, giving guidance and direction, and scheduling work.
Supportive leader behavior

Being friendly and approachable, showing concern for subordinate welfare, and treating members as equals.
Participative leader behavior

Consulting subordinates, soliciting suggestions, and allowing participation in decision making.
Achievement-oriented behavior

Setting challenging goals, expecting subordinates to perform at high levels, encouraging subordinates and
showing confidence in subordinates abilities.
13.27 Contemporary Theories

Transactional leaders

Clarify the role and task requirements of subordinates
Initiate structure
Transactional Leaders
Provide appropriate rewards
Display consideration for subordinates
Meet the social needs of subordinates
13.28 Charismatic Leaders

The ability to inspire
Motivate people to do more than they would normally do
Tend to be less predictable than transactional leaders
Create an atmosphere of change
May be obsessed by visionary ideas
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13.29 Transformational Leader

Similar to charismatic leaders
Distinguished by their special ability to bring about innovation and change by
Recognising followers needs and concerns
Helping them look at old problems in new ways
Encouraging them to question the status quo
13.30 Team Leader

Leadership is increasingly taking place within a team context
The role of team leader is different from the traditional leadership role
The challenge for most managers is learning how to become an effective team leader
There are four basic team leadership roles:

Team leaders are liaisons with external constituencies
Troubleshooters
Conflict managers
Coaches
13.31 Classification of Leadership

According to the personnel research board of Ohio University leaders were classified as follows:
The bureaucrat
Who sticks to routine, pleases his superiors, avoid subordinates and he is contemptuous to them.
The autocrat
He is directive and expects obedience from followers (Do as I say-not, as I do). Hence, subordinate do not like
him.
The diplomat
He is an opportunities who exploit subordinates. Hence, he is not trusted by his subordinates.
The expert
He is an over-specialised man. He is self-centered and interested in his owned narrow field. He treats his subordinate
only as his fellow-workers without any feelings. He always finds himself along.
The quarter back
He identifies himself with his subordinates even at the risk of incurring displeasure of his superiors and subordinates
at times. However, he is generally liked by his followers.
148/uts
Summary

A group refers to two or more persons who interact for a common explicit purpose.
Kimball Young defines a group as two or more person in a state of social interaction.
Group may be classified in many different ways: the basic for differentiation may be purpose or goal; extend
of structuring; legal organisation or setting.
The end goal of the managers organising responsibility is to create formal work groups that are necessary to
achieve the organisations goals.
Group dynamic is concerned with the interactions and forces between group members in a social situation.
Group can be formal or informal.
Informal groups support their members and protect them from outside pressure and authority.
According to Koontz and o Donnell It is the art of including the subordinates to accomplish their assignments
with zeal and confidence. Zeal reflects ardor, earnestness and intensity in execution of work; confidence reflects
experience and technical ability.
References

Rao, P. S., 2010. Essentials of Human Resource Management and Industrial Relations, Himalaya Publishing
House.
Bolden, R., Gosling, J., Marturano, A. & Dennison, P., 2003. A Review of Leadership Theory and Competency
Frameworks.
WHAT IS LEADERSHIP IN HR? [pdf] Available at: <http://xa.yimg.com/kq/groups/3598466/685835961/name/

article+-+leadership+in+HR+-+Anil+Kaushik.pdf> [Accessed 25 September 2012].
Inside Leadership [pdf] Available at:<http://www.hrmrecruit.com/files/New%20PDFs/JL%20Inside%20

Leadership%20-%20Preparation%20makes%20Interim%20Perfection%20July2012.pdf> [Accessed 25
September 2012].
2010. Human Resource Management-I Video Lecture Course, Organisation Culture, [Video Online] Available at:
<http://learnerstv.com/video/Free-video-Lecture-10037-Management.htm> [Accessed 24 September 2012].
2010. Human Resource Management-I Video Lecture Course, Performance Evaluation and Appraisal - I, [Video
Online] Available at: <http://learnerstv.com/video/Free-video-Lecture-10030-Management.htm> [Accessed 24
September 2012]
Recommended Reading

Mathis, R. L. & Human, J. H., 2007. Human Resource Management, 12th ed., South-Western College Pub.
French, W., 2006. Human Resources Management, 6th ed.,South-Western College Pub.
DeCenzo, D. A. & Robbins, P. R., 2004. Human Resource Management, 8th ed., John Wiley and Sons Ltd
149/uts
Self Assessment
1. A_____________ refers to two or more persons who interacts for a common explicit purpose.
a. leader
b. group
c. organisation
d. hr
2. Who has defined group as, Two or more persons in a state of social interaction?
a. Kimball young
b. T.M Newcomb
c. W.J.Sprott
d. T.M Young
3. Affinitive needs of an individual are fulfilled by the group through _____________________between
individuals.
a. revenge
b. friendship
c. companionship
d. reprisal
4. A group is a means of developing a sense of identity and maintaining______________.
a. self-esteem
b. overconfidence
c. boldness
d. self-respect
5. _____________ exist because the formal groups in an organisation do not satisfy human needs sufficiently.
a. Formal work-group
b. Informal work group
c. Group
d. Leader
6. ______________ is all about courage to dream big.
a. Leadership
b. Group
c. Boss
d. Manager
7. Leadership skills can be______________ to pursue bad end.
a. protected
b. perverted
c. prevented
d. preserve
150/uts
8. A leader is expected to take full_____________ in all situations.

a. responsibility
b. action
c. job
d. work
9. A persons____________ is a combination of desire and energy directed at achieving a goal.
a. morale
b. courage
c. motivation
d. qualification
10. A_______________ leader is one who commands and expects compliance.
a. autocratic
b. democratic
c. aristocratic
d. nobel
151/uts

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Human Resource Management

explain the concept of job evaluation

elucidate various job evaluation methods

enlist the responsibilities of job evaluation

evaluate the job evaluation methods

elucidate the concept of job satisfaction

explain the need to transfer or promote the employees

understand what is meant by job evaluation

differentiate between various types of job evaluation

understand job descriptions as well as job evaluation plans

9.2 Assess Employee Contribution

9.3 Definition of Job Evaluation

9.4 Objective of Job Evaluation

To determine the hierarchy and place of various jobs in an organisation.

To determine the ranks or grades of various jobs.

Human Resource Management

9.5 Essentials for the Success of Job Evaluation Programme

Compensable factor selected should

Trade union acceptance and support to the programme should be obtained.

9.6 Procedure of Job Evaluation

These factors are known as compensable factors.

9.6.1 Analyse and Prepare Job Description

Job evaluation is the outcome of job analysis.

Job description provides the information relating to duties and responsibilities.

Job specification provides information relating to employee minimum acceptable qualities.

9.6.2 Select and Prepare a Job evaluation Plan

Job should be divided into detailed task and positions.

9.6.3 Classify Jobs

Also assign money value to each class.

9.6.4 Install the Programme

9.6.5 Maintain the Programme

9.7 Job Evaluation Method

Non- quantitative technique

Ranking the key jobs

The method of paired comparison can be adopted to minimise this problem

Single factor ranking method

In view of this Goldenberg has suggested a single factor ranking scheme

Human Resource Management

Job evaluation by classification

Job evaluation by point method

The point method is a more-complicated, analytical in nature

It is a widely used job evaluation technique.

Job evaluation by factor comparison

This method was introduced by the Merrill R. Lott

Typically the compensable factors include the major categories of:

9.8 Advantages of Job Evaluation

9.9 Limitations of Job Evaluation

The process of job rating is to measure the same with accuracy

9.10 Job Satisfaction

One of the objectives of an enlightened personnel policy is to increase job satisfaction

Human Resource Management

9.11 Determinants of Job Satisfaction

Avoidance of arbitrary action

Good working condition

Reputation of the concern

A voice in matters affecting him

Competent leadership and

9.12 Promotion and Transfers

9.14 Definitions of Promotion

PIGORS & MEYERS:

A wise policy which is followed by many organisations is a proper blending of both

9.16 Types of Transfer