Download GTU (Gujarat Technological University) MBA (Master of Business Administration) 2018 Summer 1st Sem 2840302 Strategic Human Resource Management Previous Question Paper
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1 / 2 / 3/ 4) ? EXAMINATION ? WINTER 2017
Subject Code: 2840302 Date:30/05/2018
Subject Name:Strategic Human Resource Management
Time: 02:30 PM To 05:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option Attribute 6
Q.1 (a) One of the most important changes in the business environment of Oil
Refineries in India is :
1.
A. Technological change for oil
mining
B. New regulations on environment
protection
C. Change of labour regulations D. Change in consumer right laws
2.
The main difference between market driven strategy and resource driven
strategy lies in the way one explains the source of :
A. Size difference between two
firms
B. Product market strategies of two
firms
C. Profitability difference
between two firms
D Manpower strategy difference of
two firms
3.
Temporary employment relations are likely to be more common in companies
that
A. Operate on a project mode B. Require a lot of low skilled
workers
C. Work in a seasonal industry D. All of the above
4.
If a company would like to have a human resource management based
competitive advantage , them it must :
A. Take a long term view of its
design of various HR services
B. Pay above the market wage rate to
all it?s employees
C. Pay above the market wage to
all the key players only
D. Design HR services for all its
employees at the same time
5.
A company with very good organization culture will :
A. Have higher profits B. Have lower profits
C. Have lower operating costs D. Have no effect on operating costs
6.
Good managers require diagnostic skills which can be acquired by :
A. Going through a good book on
general management
B. Doing jobs that require identifying
problems faced by a division or
department
C. Going through an off-the job
training programme conducted
by a reputed management
school
D. Doing jobs that require identifying
problems affecting the
performance of a person
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1 / 2 / 3/ 4) ? EXAMINATION ? WINTER 2017
Subject Code: 2840302 Date:30/05/2018
Subject Name:Strategic Human Resource Management
Time: 02:30 PM To 05:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option Attribute 6
Q.1 (a) One of the most important changes in the business environment of Oil
Refineries in India is :
1.
A. Technological change for oil
mining
B. New regulations on environment
protection
C. Change of labour regulations D. Change in consumer right laws
2.
The main difference between market driven strategy and resource driven
strategy lies in the way one explains the source of :
A. Size difference between two
firms
B. Product market strategies of two
firms
C. Profitability difference
between two firms
D Manpower strategy difference of
two firms
3.
Temporary employment relations are likely to be more common in companies
that
A. Operate on a project mode B. Require a lot of low skilled
workers
C. Work in a seasonal industry D. All of the above
4.
If a company would like to have a human resource management based
competitive advantage , them it must :
A. Take a long term view of its
design of various HR services
B. Pay above the market wage rate to
all it?s employees
C. Pay above the market wage to
all the key players only
D. Design HR services for all its
employees at the same time
5.
A company with very good organization culture will :
A. Have higher profits B. Have lower profits
C. Have lower operating costs D. Have no effect on operating costs
6.
Good managers require diagnostic skills which can be acquired by :
A. Going through a good book on
general management
B. Doing jobs that require identifying
problems faced by a division or
department
C. Going through an off-the job
training programme conducted
by a reputed management
school
D. Doing jobs that require identifying
problems affecting the
performance of a person
2
Q.1 (b) Define / explain the following very briefly with a practical example:(any
four )
1. Non-transferability of human resources
2. Exit barrier for employees
3. Cost leadership strategy
4. Relational Skills
5. Team orientation
6. Off-the-job learning
04
Q.1 (c) Explain what is meant by outsourcing of Human Resource activities.
What are the basis on which outsourcing decisions are thus taken ?
Explain giving suitable examples.
04
Q.2 (a) Explain the importance of strategic management of Human Resources for
any organization to be competitive and profitable. Explain giving suitable
situational examples.
07
(b) IT companies are hiring manpower without IT knowledge or
qualification. Do you think they are doing the right thing ? justify your
answer by giving proper explanation.
07
OR
(b) How the employees are trained to match the culture of the organization
and how they are mentored to perform at their best , should be given
more importance than the ways of selecting them. Do you agree? Explain
with situational examples to justify your answer.
07
Q.3 (a) State the various sources / suppliers of Human Resources . Explain, with
suitable examples, why and when one source is better than the other for a
given organization.
07
(b) After the Indian sky was liberalized, many of the Indian airline operators
faced the crisis of shortage of pilots. They were willing to sign up for the
trainee pilots even before they completed their training schools. Some
even offered to pay as much as 30% of the training cost.
Give your comment, with suitable justification, on the airlines policy of
booking budding pilots before they have completed their training.
07
OR
Q.3 (a) State all the activities related to Strategic HR Planning in a logical
sequence. Explain in detail, giving suitable examples, any two such
activities.
07
(b) Assume that you are appearing for a selection interview for a company
that is in a highly competitive environment and is looking for the best
and most suitable manpower so that it may outbeat it?s competitors in the
market. What would be your answers for the following :
1. What should be the selection instrument / s that will help the
company evaluate you in context of it?s strategic orientation?
2. What skills, expertise and work styles should the company look
out for , in you ? Why ?
07
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1 / 2 / 3/ 4) ? EXAMINATION ? WINTER 2017
Subject Code: 2840302 Date:30/05/2018
Subject Name:Strategic Human Resource Management
Time: 02:30 PM To 05:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option Attribute 6
Q.1 (a) One of the most important changes in the business environment of Oil
Refineries in India is :
1.
A. Technological change for oil
mining
B. New regulations on environment
protection
C. Change of labour regulations D. Change in consumer right laws
2.
The main difference between market driven strategy and resource driven
strategy lies in the way one explains the source of :
A. Size difference between two
firms
B. Product market strategies of two
firms
C. Profitability difference
between two firms
D Manpower strategy difference of
two firms
3.
Temporary employment relations are likely to be more common in companies
that
A. Operate on a project mode B. Require a lot of low skilled
workers
C. Work in a seasonal industry D. All of the above
4.
If a company would like to have a human resource management based
competitive advantage , them it must :
A. Take a long term view of its
design of various HR services
B. Pay above the market wage rate to
all it?s employees
C. Pay above the market wage to
all the key players only
D. Design HR services for all its
employees at the same time
5.
A company with very good organization culture will :
A. Have higher profits B. Have lower profits
C. Have lower operating costs D. Have no effect on operating costs
6.
Good managers require diagnostic skills which can be acquired by :
A. Going through a good book on
general management
B. Doing jobs that require identifying
problems faced by a division or
department
C. Going through an off-the job
training programme conducted
by a reputed management
school
D. Doing jobs that require identifying
problems affecting the
performance of a person
2
Q.1 (b) Define / explain the following very briefly with a practical example:(any
four )
1. Non-transferability of human resources
2. Exit barrier for employees
3. Cost leadership strategy
4. Relational Skills
5. Team orientation
6. Off-the-job learning
04
Q.1 (c) Explain what is meant by outsourcing of Human Resource activities.
What are the basis on which outsourcing decisions are thus taken ?
Explain giving suitable examples.
04
Q.2 (a) Explain the importance of strategic management of Human Resources for
any organization to be competitive and profitable. Explain giving suitable
situational examples.
07
(b) IT companies are hiring manpower without IT knowledge or
qualification. Do you think they are doing the right thing ? justify your
answer by giving proper explanation.
07
OR
(b) How the employees are trained to match the culture of the organization
and how they are mentored to perform at their best , should be given
more importance than the ways of selecting them. Do you agree? Explain
with situational examples to justify your answer.
07
Q.3 (a) State the various sources / suppliers of Human Resources . Explain, with
suitable examples, why and when one source is better than the other for a
given organization.
07
(b) After the Indian sky was liberalized, many of the Indian airline operators
faced the crisis of shortage of pilots. They were willing to sign up for the
trainee pilots even before they completed their training schools. Some
even offered to pay as much as 30% of the training cost.
Give your comment, with suitable justification, on the airlines policy of
booking budding pilots before they have completed their training.
07
OR
Q.3 (a) State all the activities related to Strategic HR Planning in a logical
sequence. Explain in detail, giving suitable examples, any two such
activities.
07
(b) Assume that you are appearing for a selection interview for a company
that is in a highly competitive environment and is looking for the best
and most suitable manpower so that it may outbeat it?s competitors in the
market. What would be your answers for the following :
1. What should be the selection instrument / s that will help the
company evaluate you in context of it?s strategic orientation?
2. What skills, expertise and work styles should the company look
out for , in you ? Why ?
07
3
Q.4 (a) How can the long term strategic goal of a company be used to arrive at
desired performance and behavior of it?s key managers ? Explain in the
context of any given strategic goal and the manpower characteristics
desired for achieving the strategic goal.
07
(b) After joining as a divisional head of a manufacturing company, you come
to know that many of your first line supervisors are very harsh towards
the workers working under their supervision. You checked the personal
files of those supervisors. You find that most of them are highly talented
engineers and are from top ranking Institutes of the country. You are
therefore planning for some developmental programmes for them.
Among the various areas of development that you have studied, what
areas will you consider as of immediate importance for these first line
supervisors and why ?
07
OR
Q.4 (a) How can an organization create competitive advantage out of it?s
structure when it is so easy to duplicate them ? Explain by demonstrating
different organization structures for the following situations :
1. A multi ?product company with a product centric structure
2. A company doing business in unrelated products
07
(b) Explain what is an Assessment Center and why do organizations set up
such centers . Are Training Centers complimentary or substitutes for
Assessment Centers?
Large scale government organizations in India are setting up their own
In-house Management Development Centers. What are the advantages
and disadvantages of such an initiative? Explain
07
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1 / 2 / 3/ 4) ? EXAMINATION ? WINTER 2017
Subject Code: 2840302 Date:30/05/2018
Subject Name:Strategic Human Resource Management
Time: 02:30 PM To 05:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option Attribute 6
Q.1 (a) One of the most important changes in the business environment of Oil
Refineries in India is :
1.
A. Technological change for oil
mining
B. New regulations on environment
protection
C. Change of labour regulations D. Change in consumer right laws
2.
The main difference between market driven strategy and resource driven
strategy lies in the way one explains the source of :
A. Size difference between two
firms
B. Product market strategies of two
firms
C. Profitability difference
between two firms
D Manpower strategy difference of
two firms
3.
Temporary employment relations are likely to be more common in companies
that
A. Operate on a project mode B. Require a lot of low skilled
workers
C. Work in a seasonal industry D. All of the above
4.
If a company would like to have a human resource management based
competitive advantage , them it must :
A. Take a long term view of its
design of various HR services
B. Pay above the market wage rate to
all it?s employees
C. Pay above the market wage to
all the key players only
D. Design HR services for all its
employees at the same time
5.
A company with very good organization culture will :
A. Have higher profits B. Have lower profits
C. Have lower operating costs D. Have no effect on operating costs
6.
Good managers require diagnostic skills which can be acquired by :
A. Going through a good book on
general management
B. Doing jobs that require identifying
problems faced by a division or
department
C. Going through an off-the job
training programme conducted
by a reputed management
school
D. Doing jobs that require identifying
problems affecting the
performance of a person
2
Q.1 (b) Define / explain the following very briefly with a practical example:(any
four )
1. Non-transferability of human resources
2. Exit barrier for employees
3. Cost leadership strategy
4. Relational Skills
5. Team orientation
6. Off-the-job learning
04
Q.1 (c) Explain what is meant by outsourcing of Human Resource activities.
What are the basis on which outsourcing decisions are thus taken ?
Explain giving suitable examples.
04
Q.2 (a) Explain the importance of strategic management of Human Resources for
any organization to be competitive and profitable. Explain giving suitable
situational examples.
07
(b) IT companies are hiring manpower without IT knowledge or
qualification. Do you think they are doing the right thing ? justify your
answer by giving proper explanation.
07
OR
(b) How the employees are trained to match the culture of the organization
and how they are mentored to perform at their best , should be given
more importance than the ways of selecting them. Do you agree? Explain
with situational examples to justify your answer.
07
Q.3 (a) State the various sources / suppliers of Human Resources . Explain, with
suitable examples, why and when one source is better than the other for a
given organization.
07
(b) After the Indian sky was liberalized, many of the Indian airline operators
faced the crisis of shortage of pilots. They were willing to sign up for the
trainee pilots even before they completed their training schools. Some
even offered to pay as much as 30% of the training cost.
Give your comment, with suitable justification, on the airlines policy of
booking budding pilots before they have completed their training.
07
OR
Q.3 (a) State all the activities related to Strategic HR Planning in a logical
sequence. Explain in detail, giving suitable examples, any two such
activities.
07
(b) Assume that you are appearing for a selection interview for a company
that is in a highly competitive environment and is looking for the best
and most suitable manpower so that it may outbeat it?s competitors in the
market. What would be your answers for the following :
1. What should be the selection instrument / s that will help the
company evaluate you in context of it?s strategic orientation?
2. What skills, expertise and work styles should the company look
out for , in you ? Why ?
07
3
Q.4 (a) How can the long term strategic goal of a company be used to arrive at
desired performance and behavior of it?s key managers ? Explain in the
context of any given strategic goal and the manpower characteristics
desired for achieving the strategic goal.
07
(b) After joining as a divisional head of a manufacturing company, you come
to know that many of your first line supervisors are very harsh towards
the workers working under their supervision. You checked the personal
files of those supervisors. You find that most of them are highly talented
engineers and are from top ranking Institutes of the country. You are
therefore planning for some developmental programmes for them.
Among the various areas of development that you have studied, what
areas will you consider as of immediate importance for these first line
supervisors and why ?
07
OR
Q.4 (a) How can an organization create competitive advantage out of it?s
structure when it is so easy to duplicate them ? Explain by demonstrating
different organization structures for the following situations :
1. A multi ?product company with a product centric structure
2. A company doing business in unrelated products
07
(b) Explain what is an Assessment Center and why do organizations set up
such centers . Are Training Centers complimentary or substitutes for
Assessment Centers?
Large scale government organizations in India are setting up their own
In-house Management Development Centers. What are the advantages
and disadvantages of such an initiative? Explain
07
4
Q.5
Embassy Motors limited is a car manufacturing company locatedin the southern
metropolis of Chennai. The company started its business in the year 1990 with
a fixed capital of 100 crore. Dure to favourable environmental conditions and
regulatory support, the company experienced pretty high growth over the next
10 years and attained a manpower strength of 5800 employees and a fixed
capital of 1000 crores in the year 2008. Out of the 5800 employees, 1100 were
managers. Eversince, the company has been growing at a rate of 10% in terms
of it?s sales turnover. It makes passenger cars of three varieties and few small
utility vehicles. Over the years the company has increased its outsourcing
substantially and at present it buys as much as 89% of its value of production
by ways of purchased materials, parts and components and services.
The company management structure has three Directors, one each for
production, finance and HR/administration. Below the Directors , there are five
General Managers , one each in charge of production, materials procurement,
marketing, engineering and HR/administration. There are six layers of
managers from Junior engineer to General Manager . While most GMs are
hired from the external market , the remaining managerial positions are filled
from the internal market in most cases. The median age of the management
team of the company was 48 and the company was worried about the age
structure of the senior management.
Over the years, the company has accumulated good amount of reserve fund and
was on the look out for an appropriate opportunity for investment, Another
strategic need for the company was to diversify but it preferred diversification
in the same line of business.
Speed Motors Ltd. Was a two ?wheeler manufacturing company in the same
city of Chennai. It was a family owned business started in 1990 with an
investment of 100 crores and with 200 employee strength. The company
presently has seven brands of motor bikes and mopeds . The company grew fast
over the years and presently has a fixed capital of 60 crores and a manpower
strength of 1100 employees out of which 200 are in the managerial position.
The company buys as much as 55% of it?s value of production from outside. It
is planning to purchase an ERP system. It has a full fledged IT system for its
administration and accounting management.
The company has one full time MD and four GMs one each for production,
marketing, HR/administration and Finance/accounting. There are four layers of
managers below the GM. Over and above the internal market, the company has
hired good number of managers form the external market as well. The median
age of the managers is 40 years while most GMs are in the age group of 45 to
50 years.
However, over the last few years, the company?s profitability in terms of rate of
return on investment has been falling. Due the continuous drop in profitability,
the company decided to put their stakes for sale.
The promoters of Embassy motors were initially quite reluctant to jump into
the ring because of their different businesses. But eventually , they bought the
company at a price of Rs 90 crores, After buying the company, they were into a
dilemma as to whether to go ahead and integrate the two businesses
immediately and bring them under a common management or they should wait
for some time before initiating the steps and processes for integration.
Answer the following :
Q.1. What are the chances of managerial turnover after the purchase of
the company on both sides ? Why do you feel so ? explain.
Q.2 How can the company control Managerial exodus in this situation of
acquisition ?
14
FirstRanker.com - FirstRanker's Choice
1
Seat No.: ________ Enrolment No.___________
GUJARAT TECHNOLOGICAL UNIVERSITY
MBA ? SEMESTER (1 / 2 / 3/ 4) ? EXAMINATION ? WINTER 2017
Subject Code: 2840302 Date:30/05/2018
Subject Name:Strategic Human Resource Management
Time: 02:30 PM To 05:30 PM Total Marks: 70
Instructions:
1. Attempt all questions.
2. Make suitable assumptions wherever necessary.
3. Figures to the right indicate full marks.
Q. No. Question Text and Option Attribute 6
Q.1 (a) One of the most important changes in the business environment of Oil
Refineries in India is :
1.
A. Technological change for oil
mining
B. New regulations on environment
protection
C. Change of labour regulations D. Change in consumer right laws
2.
The main difference between market driven strategy and resource driven
strategy lies in the way one explains the source of :
A. Size difference between two
firms
B. Product market strategies of two
firms
C. Profitability difference
between two firms
D Manpower strategy difference of
two firms
3.
Temporary employment relations are likely to be more common in companies
that
A. Operate on a project mode B. Require a lot of low skilled
workers
C. Work in a seasonal industry D. All of the above
4.
If a company would like to have a human resource management based
competitive advantage , them it must :
A. Take a long term view of its
design of various HR services
B. Pay above the market wage rate to
all it?s employees
C. Pay above the market wage to
all the key players only
D. Design HR services for all its
employees at the same time
5.
A company with very good organization culture will :
A. Have higher profits B. Have lower profits
C. Have lower operating costs D. Have no effect on operating costs
6.
Good managers require diagnostic skills which can be acquired by :
A. Going through a good book on
general management
B. Doing jobs that require identifying
problems faced by a division or
department
C. Going through an off-the job
training programme conducted
by a reputed management
school
D. Doing jobs that require identifying
problems affecting the
performance of a person
2
Q.1 (b) Define / explain the following very briefly with a practical example:(any
four )
1. Non-transferability of human resources
2. Exit barrier for employees
3. Cost leadership strategy
4. Relational Skills
5. Team orientation
6. Off-the-job learning
04
Q.1 (c) Explain what is meant by outsourcing of Human Resource activities.
What are the basis on which outsourcing decisions are thus taken ?
Explain giving suitable examples.
04
Q.2 (a) Explain the importance of strategic management of Human Resources for
any organization to be competitive and profitable. Explain giving suitable
situational examples.
07
(b) IT companies are hiring manpower without IT knowledge or
qualification. Do you think they are doing the right thing ? justify your
answer by giving proper explanation.
07
OR
(b) How the employees are trained to match the culture of the organization
and how they are mentored to perform at their best , should be given
more importance than the ways of selecting them. Do you agree? Explain
with situational examples to justify your answer.
07
Q.3 (a) State the various sources / suppliers of Human Resources . Explain, with
suitable examples, why and when one source is better than the other for a
given organization.
07
(b) After the Indian sky was liberalized, many of the Indian airline operators
faced the crisis of shortage of pilots. They were willing to sign up for the
trainee pilots even before they completed their training schools. Some
even offered to pay as much as 30% of the training cost.
Give your comment, with suitable justification, on the airlines policy of
booking budding pilots before they have completed their training.
07
OR
Q.3 (a) State all the activities related to Strategic HR Planning in a logical
sequence. Explain in detail, giving suitable examples, any two such
activities.
07
(b) Assume that you are appearing for a selection interview for a company
that is in a highly competitive environment and is looking for the best
and most suitable manpower so that it may outbeat it?s competitors in the
market. What would be your answers for the following :
1. What should be the selection instrument / s that will help the
company evaluate you in context of it?s strategic orientation?
2. What skills, expertise and work styles should the company look
out for , in you ? Why ?
07
3
Q.4 (a) How can the long term strategic goal of a company be used to arrive at
desired performance and behavior of it?s key managers ? Explain in the
context of any given strategic goal and the manpower characteristics
desired for achieving the strategic goal.
07
(b) After joining as a divisional head of a manufacturing company, you come
to know that many of your first line supervisors are very harsh towards
the workers working under their supervision. You checked the personal
files of those supervisors. You find that most of them are highly talented
engineers and are from top ranking Institutes of the country. You are
therefore planning for some developmental programmes for them.
Among the various areas of development that you have studied, what
areas will you consider as of immediate importance for these first line
supervisors and why ?
07
OR
Q.4 (a) How can an organization create competitive advantage out of it?s
structure when it is so easy to duplicate them ? Explain by demonstrating
different organization structures for the following situations :
1. A multi ?product company with a product centric structure
2. A company doing business in unrelated products
07
(b) Explain what is an Assessment Center and why do organizations set up
such centers . Are Training Centers complimentary or substitutes for
Assessment Centers?
Large scale government organizations in India are setting up their own
In-house Management Development Centers. What are the advantages
and disadvantages of such an initiative? Explain
07
4
Q.5
Embassy Motors limited is a car manufacturing company locatedin the southern
metropolis of Chennai. The company started its business in the year 1990 with
a fixed capital of 100 crore. Dure to favourable environmental conditions and
regulatory support, the company experienced pretty high growth over the next
10 years and attained a manpower strength of 5800 employees and a fixed
capital of 1000 crores in the year 2008. Out of the 5800 employees, 1100 were
managers. Eversince, the company has been growing at a rate of 10% in terms
of it?s sales turnover. It makes passenger cars of three varieties and few small
utility vehicles. Over the years the company has increased its outsourcing
substantially and at present it buys as much as 89% of its value of production
by ways of purchased materials, parts and components and services.
The company management structure has three Directors, one each for
production, finance and HR/administration. Below the Directors , there are five
General Managers , one each in charge of production, materials procurement,
marketing, engineering and HR/administration. There are six layers of
managers from Junior engineer to General Manager . While most GMs are
hired from the external market , the remaining managerial positions are filled
from the internal market in most cases. The median age of the management
team of the company was 48 and the company was worried about the age
structure of the senior management.
Over the years, the company has accumulated good amount of reserve fund and
was on the look out for an appropriate opportunity for investment, Another
strategic need for the company was to diversify but it preferred diversification
in the same line of business.
Speed Motors Ltd. Was a two ?wheeler manufacturing company in the same
city of Chennai. It was a family owned business started in 1990 with an
investment of 100 crores and with 200 employee strength. The company
presently has seven brands of motor bikes and mopeds . The company grew fast
over the years and presently has a fixed capital of 60 crores and a manpower
strength of 1100 employees out of which 200 are in the managerial position.
The company buys as much as 55% of it?s value of production from outside. It
is planning to purchase an ERP system. It has a full fledged IT system for its
administration and accounting management.
The company has one full time MD and four GMs one each for production,
marketing, HR/administration and Finance/accounting. There are four layers of
managers below the GM. Over and above the internal market, the company has
hired good number of managers form the external market as well. The median
age of the managers is 40 years while most GMs are in the age group of 45 to
50 years.
However, over the last few years, the company?s profitability in terms of rate of
return on investment has been falling. Due the continuous drop in profitability,
the company decided to put their stakes for sale.
The promoters of Embassy motors were initially quite reluctant to jump into
the ring because of their different businesses. But eventually , they bought the
company at a price of Rs 90 crores, After buying the company, they were into a
dilemma as to whether to go ahead and integrate the two businesses
immediately and bring them under a common management or they should wait
for some time before initiating the steps and processes for integration.
Answer the following :
Q.1. What are the chances of managerial turnover after the purchase of
the company on both sides ? Why do you feel so ? explain.
Q.2 How can the company control Managerial exodus in this situation of
acquisition ?
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5
OR
Q.5 A nationalized bank with more than 40 lakh savings bank accounts in one
state alone, was going through a performance appraisal period. The
performance was being evaluated both in terms of business per employee
and profit per employee. None of these figures were encouraging . The
business per employee was only 50 % of that of it?s competitor bank. The
profit per employee was also the lowest.
The Chairman was highly disturbed that inspite of having such a vast
network of branches across the country, it failed to attract new customers.
He sensed that the managers and employees were not conscious of the
customer needs. They concentrated merely on the transaction issues
instead of understanding the customers? overall needs.
He announced therefore that unless the performance slide was reversed
soon, he would have no option but to offer exit option to employees.
From the customers perspective, the scenario was that customers looked
for more value added services like payment of bills, taxes, money transfer
at nominal fees, etc. All these would require technological improvisation
which the other banks were already having. On the industry boundary,
banking as an industry is slowly getting merged with insurance. Banks
are now required to compete with world class insurance companies.
This a whole set of new business challenges are surrounding the banking
industry as a whole and this bank in particular.
With reference to the situation above , answer the following questions,
Q.1 Which of the two options should this bank exercise : i) to recruit a
new set of employees or ii) to train and develop the competencies of the
current employees. Justify your answer with required explanation.
Q.2. If the Bank decided to train it?s employees what should be the
content of such programmes and who should be the trainers and what
should be the training methodology ? Justify your answers.
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This post was last modified on 19 February 2020