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    SOLVED QUESTIONS

    INDUSTRAIL RELATION AND LABOUR ENACTMENT

    MBA HR02

    MTU, NOIDA

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    INDUSTRIAL RELATIONS & LABOUR ENACTMENTS

    (MBA HR02)

    Unit 1

    Q.1:- Elaborate the perspective scenario technology with reference to industrial relations.

    Or

    Is technological change affect the industrial relations? If yes, how industrial relation is being affected

    technology in India?

    Ans:- Industrial relations is an expression used not only for relationship between employer and trade unions

    also involving government with the aim of defining policies, facing labour problems.

    Industrial relations include following concept.

    1) Rules for employment management2) Rules and regulation.3) Role of State Government bodies.4) Harmonious relations and technology.

    Industrial relations and technology.Yes, Technological change affects the Industrial Relation. IR impact with information

    communication technologies, their traditional framework is deeply changing. In fact:-

    a) Horizontal and pervading all sector, more & more reciprocally linked.b) Dynamic, rapidly innovating.c) Labour and capital saving and principally flexible (Suitable for many purposes)

    Such changes themselves reflect at industrial or organisation levels well as at the single job level. At

    organisation level professional requirements, the work place environment, health and safety in the workpl

    work satisfaction, working hours, which can be modified considerably for technological change. These chancan, in fact be even more striking in newly founded industries that in corporate the latest technolog

    developments and working organisation models which are quite different from those already operating insame sector, division classical studies on technological innovation have focused on lack of direction

    technological planning as a whole and disregard for the impact of any mutations, the impact on labour is moreresult of a series of decisions made by those directly involvements introducing new technologies, including th

    who are responsible for the introduction of changes, for management norms as well as those who have to m

    with a new technologies that the workers and trade unions.

    1. Forcing limits of traditional trade unions strategy

    Trade unions in industrialized countries discover their own methods inadequate to represent diffepositions and professional novelties from the labour market. While management strategies and practices often

    to change some of the rule, or the whole industrial relations system, Trade unions point to concentrate their eff

    on a new confederate organisational system. Trade Union try to define new strategies facing the problemcompanies re-organisation but in a broader sense. It is also build new-styled agreement in socio-econo

    framework.

    2. Tele work and new bargaining demand

    Technological innovations, linked to network and multimedia work development clearly emphmeanings and forms of distance working. During the recent past, at organisational level, Tele work

    enlightened a need of a flexible and centralized management at the workforce, asking for a pre

    individualization of formal relationship between parties, usually determined by national labour law.

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    Factors influencing technological change.

    1. Type of technology used.2. Rate of technology change3. Research and development4. Status level in organisation5. Government rules.6. Culture7. Market

    Factors influencing industrial relation.

    1. Institutional factors2. Economic factors3. Social factors.4. Psychological factors5. Political factors6. Global factors.

    Conclusions:- Technological change affect the industrial relation

    Q.2- Discuss the role of state in Industrial Relation in India.

    Ans:- Introduction: According in all industrialized developing and underdeveloped economies steps have b

    taken by the State to promote a healthy growth of trade union and set up a well- organized individual relat

    machinery to achieve industrial peace.

    (A) The changing Role of the State Govt.

    The government has played at least six roles in industrial relation in India.There are:-

    i) Laissez faire:During the 19

    thcentury, the government played a laissez faire role in industrial relations. Under lai

    faire the workers and employees were left alone to manage their affairs.

    ii) Paternalism:

    By the end of 19th

    century. The laissez faire role of the government was replaced by paternalism. Thin

    like Robert, Rusin and others attracked the attention of the public & the government towards the human workconditions in factories, mines and plantations. The govt. had also set up a Royal Commission on labour (1929-

    iii) Tripartism :

    Tripartite form of consultants on the model of the ILO conference. After independence several such fowere formed. The major tripartite bodies formed:-

    Indian labour conference, standing labour committee, industrial committees for specific industries etc.

    iv) Encouragement of voluntarism: -The government also promotes voluntarism involving a serious of code to regular labour managem

    relations.

    These codes include codes of discipline, code of conduct and code of efficiency and welfare. Specific

    the code of disciplines encourages voluntary arbitration and helps in maintaining discipline at workplace.

    v) Interventions:The government also plays an interventions role. The intervention is in the form of cancellation

    adjudication the industrial dispute Act, 1947 provide such measure to intervene in industrial disputes.

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    vi) Employer:The government also plays the role of the largest employer. The performance of this role influences lab

    policy also. Obviously the government takes into consideration the interest of public sector while framingpolicy.

    2. Evaluation of industrial relations policies:

    i) In pre-independence India:Industrial relations had its beginning when the British Government in India was constrained to protec

    commercial interest in this country. An ILO observes,: For protecting the interest of Labour, employees

    workmen Act of 1860.

    According to Dr. B.R. Ambedkar (1942)The policy of bringing together the three parties, namely the government management consultative tripa

    forum for all matters of labour policy and industrial relations was accepted.

    Other important Act:1920 Bombay Committee1931 Royal Commission on labour

    1935 Government of India1938 Bombay Industrial Disputes Act,

    ii) In Post-Independence India

    In free India, the Industrial disputes act in 1947 the main aims to maintain harmonious relation

    between workers and workers, employees to worker, employees to workers.In 1950 the bills were passed by the government.

    A Labour Relations Bill and a Trade Unions Bill

    iii) Industrial relations policy during the plan period

    Directives the principles The plan documents

    Of State policy

    The Directives principles of State Policy

    S.No. Article Reads as follows

    A Article 39 Equal work for both men & women

    Health and strengthen workers

    b. Article 41 Economic Capacity

    Right to work, to education

    c. Article 42 Human conditions of work and maternity relief.

    d. Article 43 Living wages

    Social and cultural opportunities

    e. Article 43A Development

    Workers participation management

    The plan documents:

    a) The first five year plan (1951-56)According to this First Five year Plan emphasized the need for industrial peace in industry and main

    harmonious relationship between capital and labour.

    The main aims:- workers right to association providing healthy, lawful action, educational systems.

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    b) The second five year plan (1956-61)According to this plan-Creation of industrial democracy is prerequisite for the establishment of a soci

    society Under this plan emphasis industrial peace. A series of voluntary arbitration, code of discipline, codconduct etc.

    c) The third Five year plan (1961-66)

    According to third plan emphasized the economic and social aspects by industrial peace. (Industrial trResolution Act 1962 set up).

    d) Four five year plan ) 1974-79)

    Under this plan to improve legislation, welfare of workers, working and living conditions, fair w

    arrangements for skills training, labour research etc.

    e) Fifth five year plan ( 1974-1979)

    Under this plan stressed the need for greater involvement of labour by ensuring its vertical mobilit

    industrial organisations.

    f) Sixth (1980-85) and Seventh (1985-90) five year plansAccording to both plants- the important goals of improving the conditions of working class, wor

    participation productivity improvement etc.

    g) Eight five year plan (1992-97)Under this plan emphasized workers participation in management, skills, training, informal sector etc

    Other Act set up during plans:(1969) National Commission on labour recommendation

    (1991) New Industrial policy:- based on two perspective management , labour etc.

    Conclusions: - The role of Industrial relation in India continuous improvements and protection in workers.

    **********************************************************************************************

    Q. 3 Why discipline is important in industry? Discuss the code of Discipline in industry.

    Ans:- Introduction:- Discipline is very essential for a healthy industrial atmosphere and the achievemenorganisational goals. Discipline in industry may be described as willing cooperation and observance of the r

    and regulations of the organisation. Discipline is essential to a democratic way of life.

    According to Brembless: Discipline does not mean a strict and technical observation of rigit rules

    regulations. It simply means working, co-operating and behaving in a normal & orderly way, as any responsperson would except an employee to do

    Importance of Discipline in industry.Discipline is the very essence of life. The goals or objectives of industrial discipline should be cle

    stated.

    To ensure that employers & employee recognize each others rights and obligations. To promote constructive cooperation between the parties concerned at all levels. To maintain discipline in industry. To secure settlement of disputes & grievances by negotiation, cancellations voluntary arbitration. To eliminate all forms of coercion violence in industrial relation. To avoid work stoppages. To facilitate the free growth of trade unions.

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    Respect for the human personality. Management personnel should set high standards.

    Discipline is the very precious step in life everywhere and every place. An industrial organisation is an org

    whole in which a variety of forces act in union towards the attainment of its ultimate aims. Obviously, smooth

    effective functioning demands a high degree of co-ordination among the various elements which from intepacts of an organization. In an industry big or small manpower is the major factor. Manpower can be u

    effectively only if there is discipline in the industry. Maintain of discipline is a prerequisite for the attainmen

    maximum productivity not only of the workers but also of the whole nation. In this way discipline is importan

    industry.

    Introduction:

    In India, the problem of industrial discipline was debated by the Indian Labour Conference held in1957conference noted the record of discipline by employers & employees. A sub-committee was appointed to dr

    model code of discipline, which would be acceptance to all. Indian Labour Conference discussed 3 draft co

    including:-

    A Code of Conduct to regulate inter-union relations. A Code of Discipline to regular labour management relations. A Code of Efficiency and welfare for laying down norms of productivity and labour welfare. The

    central organisation of labour then representing an Indian labour conference including (INTUC, AIT

    HMS, UTUC) agreed to comply with the code. The adoption of code of discipline was announced

    June 1958.

    Importance of code of discipline in industry.To maintain discipline in industry the main objectives of code are:-

    Maintaining peace and order in industry. Recognize the rights and responsibility of each other. It prohibits strikes and lock-outs. Facilitating a free growth of trade unions. Settlements of disputes Union will discourage of duty damage to property, careless operation in subordination and other un

    labour practices on the part of workers. Avoiding work stoppages in industry.

    Thus the code of discipline consists of three sets of principles Obligation to be observed by managemobligation to be observed by trade unions.

    Code of discipline has been helpful in improving industrial relation in the country. The code of discip

    is a major step in establishing orderly atmosphere in the industrial unit.

    Q.4 To often discipline is thought of only in the negative sense. In reality positive discipline is m

    effective and plays a longer role in business

    Discuss the statement and point out the approach, principles, and procedures to be borne in m

    while taking the disciplinary action.

    Or

    Briefly discuss the responsibility of discipline. What are approach, principle procedures of indust

    disciplinary action.

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    Ans:- Discipline is the orderly conduct of affairs by the members of an organisation.There are two aspects of discipline

    Positive and negative aspects.

    Positive aspects:-Positive discipline can be achieved through rewards and effective leadership. Positive discipline prom

    cooperation and coordination with a minimum of formal organisation. It reduces the need for personal supervi

    required to maintain standards.

    Negative aspects:Negative discipline is traditional concept and is identified with ensuring that subordinates adhere stri

    to the rules and punishment, is meted out in the event of indiscipline.

    A Explain approaches:-

    Basically, there are five approaches regarding to manage indiscipline or misconduct.

    1) Judicial Approach-

    It is commonly followed in India. The present day manager has to handle a variety of disciplinary iss

    His right to hire and dismiss is curbed to a great extent, especially where unionized employees are concerned. complexity is increased in this arbitrary managerial function due to intervention by the government by provid

    legislation for governing terms of employment.

    2. Human Relation Approach:-Human relation is a systematic developing body of knowledge devoted to explaining the behaviou

    individual in the working organization.

    3. Human Resources approach:The approach calls for treating every employee as a resources and an asset to the organisation be

    punishing the workers, the cause for indiscipline has to be ascertained.An analysis of the cause is made, to find out whether indiscipline is due to the failure of his trainin

    motivating system & the individuals own failure to meet the requirements, and accordingly corrections are m

    4. The group discipline approach

    The management is this approach sets and conveys well established norms and tries to involve two gr

    of employees. The group as a whole control indiscipline and awards appropriate punishment. The trade unmay also act as a disciplinary agency.

    5. The leadership approach:

    Every supervisor or manager has to guide, control, train, develop, lead a group and administer the ruledisciplines

    B) Principles for disciplinary action:Best effects, act of indiscipline occurs and it becomes necessary to take a disciplinary action. Follow

    principles are:-

    1. Principles of natural justice2. Principles of impartiality or consistency.3. Principles of impersonality4. Principle of reasonable opportunity.

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    (C) Procedure for disciplinary actionThe procedure for disciplinary action involves the following steps:-

    1. Preliminary Investigation: First of all a preliminary enquiry should be held to find out the miscon

    behaviour or situation.

    2. Issue of a charge sheet: Charge sheet is merely a notice of the charge and provides two employee

    opportunity to explain his conduct. Charge sheet each charge should be clearly defined & specified.

    3. Suspension pending Enquiry:- In case the change is given to the employee along with charge sh

    According to the industrial employment (Standing order) Act 1946, the suspended workers is to paisubsistence allowance equal to one-half of the wages. For the first 90 days of suspensions and third-fourths of

    wages for the remaining period of suspension if the delay in the completion of disciplinary proceeding are not

    to workers conduct.

    4. Notice of enquiry:In case the worker admit the change, in his reply to the charge sheet, without any qualification.

    employer can go ahead in awarding the punishment without further enquiry. But if the worker does not admitcharge & the charge merits major penalty, the employer must hold enquiry to investigator into the charge. Pr

    and sufficient advance notice should be given to the worker of the enquiry.

    5. Conduct of inquiry: The inquiry should be conducted by an impartial and responsible efficiency.

    6. Recording the findings:- The enquiry officer must recordable the conclusion and findings.7. Awarding punishment:- The management should decide the punishment on the basis of finding of

    enquiry. Post record of worked and gravity of the misconduct.

    8. Communicating punishment:- Communicating punishment to the worker should be communicatehim quickly. The letter of communication should contain reference to the charge sheet, the enquiry and

    findings.

    Other red-hut store rule:-Mc greger has suggested this rule to guide managers in enforcing discipline. The rule is based on anal

    between touching a red-hot store and nothing rules of discipline. When a person touches a hot-store

    The burn is immediate He had warning that he knew that he get burn if he touched it. The effect is impersonal. The effect is comprehensive with two gravity of mis conduct. The effect is consistent every body who touches red-hot store would be burned.

    Conclusion: If indiscipline occur and it becomes necessary to take a disciplinary action.

    Q.5 Define Industrial Relation (IR). Discuss in detail nature and importance of IR.

    Ans:- Introduction:-

    Industrial Relations are viewed as the process by which people and their organisation interact at the pof work to establish the terms and conditions of employment. The process of interaction stressed not just

    resulting standard. Finally, the whole process is viewed as a system. In order to emphasis the interrela

    among people their work, organisation and the standards in industrial management.

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    Industrial peace can be largely nurtured through the following means:-

    Machinery should be set up for the prevention and settlements of industrial disputes.

    The government should have the power to refer disputes to adjudication when the situation tends to getof hand and is faced with economic collapse due to continue stoppage of production on account of lstrikes/lockouts when it is in the public interest to do so during periods of emerging or when there is

    of foreign attack or when production needs to be carried on without interruption.

    7. Development of Industrial Democracy:Recognition of Human Rights in industry. Increase in labour productivity. The availability of proper w

    environment.

    Little to all of us realize that it is the people who creates problem everywhere and it is only who can find solutitoo. If there is a problem from employees there is a solution also. Viewing every problem seriously & resor

    the manipulation style of IR which emphasis the need of the labour.

    **********************************************************************************************

    Q.6 Discuss in detail various approaches & parties to IR. (Perspective/approach)

    Ans:- A few approaches to IR are discussed here in some what greater detail.

    (1) Psychological approach to IR.:

    The psychologists are of the view that the problem of IR are deeply looked in the perception andattitude of focal perception on his behaviour has been widely studied by Mason tiarie. He studied the behaviou

    two different groups namely, Union Leaders and the execution through TAT (Thematic Apperception Test).

    For the test a photograph of an ordinary middle-aged person served as input, which both the groups were expec

    to rate. It is interesting to note that both the group rated the photograph in different manner i.e. The Un

    Leaders referred the person in the photograph as Manager where the group of Executive saw UnLeaders in the photograph. The result of study led have to conclude that :-

    The general impression about a person is radically different when he is seen as a representativ

    management from that of the person as a representation of labour.The management and labour see each other as less dependable.

    This variance in perception of parties is largely because of their individual perception. It is for this reason

    almost invariably some aspect of the situations is gloried. Some suppressed or totally distorted by the indus

    making a indigenous in the issue.

    2. Sociological approach to IRsThe industry is a social world in maintain and the workshop is in a reality a community made up

    various individual and groups with differing personalities, education likes and dislikes and a host of opersonal factors such as attitudes and behaviour. In social factors also include like value system, customer no

    symbols, attitude and perception of both labour and management that affect the industrial solutions in variaways.

    According to Max Weber:-Also holds the view that it is the social structure of the enterprise which determine the relationship between

    labour and management as well as the attitude of the labour to his job.

    According to George C. Hamans:-In sociological approach to industrial Relations include. Three main elements.:

    Activities

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    Above elements activities, interactions, and sentiments are essential or required from its members if it is tosurvive.

    3. System approach to Industrial Relations:

    John Dunlop has developed a system approach to IR (Industrial Relations)This approach is quite helpful in studying the industrial relations in the sense that it focuses on participants in

    process, environmental forces and the output. Further, it studies inter-relations among different facts of industr

    relations system:-

    Environmental forces Participants in the Outputs

    system

    4. Gandhian Approach to Industrial Relations:-Gandhis View on IRs are based on his fundamental principles of truth and non-violence, and

    possession. Out of these principles evolved the concepts of non-co-operation and trusteeship on which philosophy of industrial relations rests. This philosophy presumes the peaceful co-existence of capital and lab

    which calls for the resolution of conflicts by non-violent. Non cooperation, which actually amongst to peac

    strikes in ordinary parlance.

    Gandhi has accepted the workers right to strike, but remarked that this right is to be exercised in a cause and in a peaceful and non-violent only after employers fail to respond to their moral appeals.

    Gandhian approach has given more emphasis on peaceful settlement of Industrial disputes.

    5. Unitary Approach:-

    SentimentsInteractions

    1. Market orbudgetary restraints2. Technology3. Distribution ofpower in society.

    Union Management

    Government

    Rule of the

    workplace

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    H) IR Decision:-IR decision always emphasis on communication, relationship, co-ordination, discipline, con

    competence etc.

    Factors affecting Industrial Relations:

    Industrial relations system of an organisation influenced by a variety of factors.

    a) Institutional factors:-

    are included items like state policy, labour laws, voluntary codes, collective bargaining, labour union e

    b) Economic factors:-Are included economic organisations. (Socialist, Communist, Capitalist) types of ownership, individ

    company, labour market, level of unemployment, economic cycle.

    C) Social factor:-Are included social values, norms, social status; influences industrial relations in the early stage

    industrialization.

    D) Technological factors:Are included types of technology, work methods research & development etc.

    E) Psychological factors.:

    Are included workers attitude, towards work. Their motivation, moral interest. The various psycholog

    problems resulting from work has a far reaching impact on workers job and personal life that directly or indireinfluences industrial relation system of an enterprise.

    F) Political factors:-

    Are included government policies, rules and regulation. Government shaped industrial relation postructure.

    G) Enterprise related factors:

    Fall issues, like style of management, value system, organisation culture and climate.

    H) Global factors:

    Are included global cultural, economic and trading policies, role of industrial labour organisation etc.

    *****************************************************************************************

    *****

    Q.7:- What are the emerging trends in industrial relations in the era of Globalisation. Examine signific

    transition and transformation in IR in this context. Or Giving trends The study of IR a changing need

    Or

    What is the present status of industrial relations in India? How emerging socio economic scenari

    affecting industrial relations?

    Ans:- Industrial relations is a concrete system of interaction between workers and management in industry.

    In 1991 with declaration of new economic policy, a serios of industrial fiscal and trade reforms w

    announced by the government. It was presumed that there structural changes would arrest growing inertia that set in the economy due to its mis-management and continuance of unrealistic economic policies for more

    over decodes.

    It is heartening to note that the new economic policy has altogether generated a new business environm

    where in the private sector was liberated from the clutches of excessive government controls. The Public seunits lost their monopolistic custom duties the threshold limit of MRTP revoked FERA was considerably ac

    ability of foreign capital has become easily etc.

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    New economic policy maintains a harmonious industrial relations. The field of IR is a coherent bodknowledge, which links to different disciplines (low, economic, administration, sociology) which enabl

    person to understand, explain and organize economic and social relations whether individual or collective forand informal which arise or are formed within the enterprise the firm the sector or in the company as a wh

    between workers, employees & their representative organisations & the static and related to their situati

    needs, rights & goals sought for the production of goods and services. In industry relations system consistthree main heros:-

    Management organisation

    Workers

    Formality & informally organized.

    The heros and their hierarchies or Organisations are located within the environment defined in termstechnology labour and product markets and the distribution of power in the larger society as it impacts the he

    the workplace. In this environment 3 heros interact with each other, negative use economics & political powe

    influence in the process of determining the rules of the workplace that constitute the output of industrial relati

    system.

    Development in the field of industrial relations:

    1) A new context:In Europe, USA, and some other countries there has been an increase in international competition

    number of new industrialized counters, some with a distinct advantage in labour costs have emerged. Quality

    innovation have become crucial to organisation. Exchange rates have become volatile. New informationmanufacturing technologies have become available and the pace of structural reforms has increased. Econo

    performance has been a major problem in many countries in recent years. There changes have led to an urg

    need for a change in the fabric of IR.

    2. Trade unions:Trade union plays a important role in industrial relation. Trade union is an combination whe

    temporary or permanent formed primarily for the purpose of regulating the relation between work men

    employees workers & workers or between employees and employees. The changes in the economy.

    Changes in the workforce, the increase in part time and causal workers.Employee aggressiveness, in some countries companies has pursued activities. In Australia unions cooperate w

    the restructing policies of labour government.

    3. Decline in Manufacturing and post faradism.:There has been a seduction in the labour force in manufacturing with a simultaneous increase in servi

    The blue collar workers of the 1970s and earlier decades have been giving way to white color workers. They developed a new configration of industries within manufacturing with the growth of microelectronic, consu

    and capital goods and a simultaneous fall in textile steel and heavy engineering. There has been in a way a s

    from fordism to post-fordism to post-fordism implying that skilled labour, decentralized bargaining, displa

    traditional workplaces.

    These change described above have not taken place to the some degree in all countries, but are indica

    of the trends in most of them.4. Quality of working life (QWL):

    During the 1980s there has been a greater concern for the QWL and productivity. QWL originated in

    1950s as part of the job enrichment theories. Japanese companies concentrated predominantly on the qua

    circles with a fair degree of success.QWL has been instrumental in promoting a number of human resources policies that were aime

    getting productivity increases as well as cooperation during the process of introducing changes in technology.

    5. Crises Response:

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    The economic crises of the1980s brought about a slow attitudinal change in unions and managemThere were instance of unions taking into accounts the health of the enterprise is determining their actions.

    instance American and airline unions engaged in once that bargaining with employers. They agreed to lowages in order to make companies more competitive. This has been aided by more transparent financial repor

    to unions by management.

    Future of Industrial Relations:Future of industrial relations main concepts improvement in relationship between union and managem

    under industrial relations, trade union, disciplines collective bargaining, employee empowerment, technolog

    change and anticipative management.

    Competition

    Education and communication

    Common human needs and expectations.

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    UNIT 2

    Q.8 : What is Trade union? What are the objectives of the formation of trade unions? Explain the role

    future of Trade unions.

    Ans:- Trade Union Act was set up in 1926. Trade union is an combination whether temporary or permaformed primarily for the purpose of regulating the relation between workmen and employees, workers

    workers, between employees and employees or for imposing restrictive conditions or conduct of any tradbusiness and include any federation of two or more trade unions.

    According to Webb.:

    A Trade Union is the continuous association of wage earns for the purpose of maintaining or improvthe conditions of their working lines.

    Features/Objectives of trade union:

    Trade unions are essentially Organisations for the protection & promotion of interests of their memb

    and workers. The trade union generally pursue the following broad objectives:-

    1. The trade union is voluntary association.Trade union is not a compulsory association but voluntary association of workers, who may be in on

    more industries & occupation

    2. Common Interests:There is certain common interest of the member workers. The leader of the Trade Union is suppose

    pursue and protect the economic & other interest of the members which leader to their welfare.

    3. Collective action:-Through discussions in the meeting of Trade Union leader of the union takes collective steps to press t

    demand before the management.

    4. Permanent & Continuous association:Trade Union permanent & continuous association but main function to maintaining or improving

    conditions of workers.

    5. Economic benefits:

    Trade union association engaged in securing economic benefits- maintain price of labour & conditions

    6. Gaining legislative identify:-

    The trade union also tries to give the legal identify the workers.

    7. Other benefits:Such as cultural, political, social and psychological are also within their broader preview.

    8. Precious benefits:

    To safeguard their interests

    To participate in union activities.

    To exercise leadership

    To get hike in wage rate.

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    To maintain good relation.

    To maintain adequate working conditions

    To get a media of communication

    To do fair dealing

    To get employment

    To get strengthen.

    Role of Trade Unions

    Trade union performs various role regarding the various classes of the society as follows:

    (A) Role towards the trade union member:-

    To safeguard the workers conditions and parties, education , housing, co-operative

    To ensure health, safe, protect conducive work condition.

    To guarantee a fair deal and social justice to workers.

    To make the workers aware about their rights and duties, settle the disputes through negotiation.

    B) Role toward the industrial organisation.:

    To promote identify of interest

    To help in maintenance of discipline

    To create opportunities for workers participation in management and to facilitate communication

    management.

    Maintain harmonic relationship between workers and management

    C) Role towards the Trade Union organisation- To improve financial position and improve workers network of commercial between union & its memb

    - To maintain strengthen, necessary records, resolve the problem.

    - To manage the Trade union organisation on scientific lines

    - To train members to assume leadership postion.

    D) Role toward society:- To actively participate in the development of the programs of national development such as fam

    planning, fore situation effective implementation apply, cooperation etc.

    - To enable unorganized sector to organize itself.

    Future of Trade Union: In India trade unions are regulated by the Indian trade union act 1926. All present t

    are about 48000 registered workers. Unions and 10 central labour organizations in our country.

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    Some important features of these unions are as follows:

    1. As the National Commission on labour in India points out the structure of our unions and their types doadmit of any simple generalization of the three types of unions (general union, craft union, industrial uni

    Industrial union is most prominent in our country, craft unions are found among non-industrial and professi

    workers only. Thus we have the unions of taxi-drivers, tango-drivers, bank employees etc. union divide into thcategories.

    - Primary unions which operate at the plant level- Regional federations which work at the regional level- Central labour organizations, which operate at the national level.

    2. In our country some states there is very heavy concentration of unions but in some others there are only a fe

    unions. The following table gives figures of the number of unions & the estimated average daily number ofworkers.

    S.No. State Avg. daily no. of

    unions

    No. of workers

    1. Assam 110 170

    2. Gujarat 695 1025

    3. Haryana 245 356

    4. Punjab 347 476

    3. International organisation world federation of trade union established in 1946. WFTU headquarter in PTwo of our central organizations (HMS) Hindu Mazdoor Sabha, (INTUC) India, National Trade Union Congr

    Other National Trade Unions organizations

    - BMS Bhartiya Mazdoor Sangh

    - UTUC United Trade Union Congress

    - NLO National Labour Organisation- NIFTU National Front of Indian Trade Unions

    Future role

    Future unions should be encourage to make a thrust towards the psychological & social well being of the wor

    some important areas Communication, counseling, educations, training, welfare, family & vocational guidaresearch.

    Some obstacles in the future growth of trade unions

    Our trade union are not so developed as in the western countries due to following reasons.:-

    - Outside leadership

    - Low membership

    - Uneven growth of trade unions

    - Absence

    - Weak financial position

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    - Lack of interest

    - Lack of public support

    - Limited stress on welfare

    - Lack of knowledge among workers of industrial practices in comparable organizations complexities

    - Multiplicity of trade union.

    How to remove obstacles in future growth of trade unions?

    - Development

    - Co-ordination

    - Improve economic & social benefits

    - Improvement in financial growth

    - Cultural activities

    - Discipline

    - Motivation

    - Education and communication, counseling

    Conclusion: Perfect recognition of unions will make them more effective

    *****************************************************************************************

    *****

    Q.9 Write a short note on:

    a) Types and structure of trade union

    b) Function of trade union

    Ans: a) Trade union has been one of the first fruits of industrial revolution

    Trade union can be classified under two heads.

    A) Union classification according to the purposeUnder this head normally tow types of union falling

    I) Reformist II) Revolutionary III) Other types of Trade Union

    I) Reformist Unions:- Such unions work & propose changes within the existing social & political framewor

    society reformist divide in two parts.

    i) Business unionism: are those union that are maintained primarily to represent the workers in collec

    bargaining with the employers.

    ii) Friendly or Uplift unionism: Idealistic in nature & aspires to elevate the moral, intellectual and social lifthe workers. They emphasis such other consideration as education, health, insurance etc.

    II) Revolutionary Unions:

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    Such unions believe in the destruction of existing special and economic orders development of new one. attaining this objective they may purpose a major shift in power and authority and serve use of force for

    purpose.

    Revolutionary Unions divides in two parts.

    i) Anarchist Unions: The unions which try to destroy the existing economic system by revolutionary m

    called anarchist unions. Such unions exists no use in presently scenario.

    ii) Political Unions: This union which gain power through political unions. The main function of s

    unions is to eliminate the power of capital, capitalists, wealth & giving effective power to workers.

    III) Other types of trade unions:

    i) Craft unions:- It is an organisation of workers employed in a particular craft & trade or in a single c

    or few occupations. Such organisation link together those workers who have similar skills craft training etc.

    ii) Industrial unions:- Covers workers with a variety of skills employed in a single industry e.g. industry.

    iii) Staff unions: The term staff union is popularly used to both craft & industrial union. It is organized

    workers on the basis of craft working in the same industry.

    iv) General Unions:- It is a organization which covers various industries & labourers having different ski

    Structure of Trade union:

    Name of Trade union Set up Work

    a) WFTU (world federation

    of trade union)

    1946 Improvement international & National Level

    economic, social, political etc.

    b) AITUC (All India TradeUnion Congress)

    1921 Improvement the economic, social conditions

    c) HMS (Hindu MazdoorSabha)

    1948 Peaceful and democratic

    d) CITU (Centre of IndianTrade union)

    1971 Legislation, political matters, agitation

    e) NIFTU (National front ofIndian trade unions)

    1973 Growing fast Independent unions

    b) Function of Trade Union:-

    1. General function of trade union:Improvement in workers working conditions and protection. It consists of regular hour of work, s

    working and paid holiday and limit of overtime workers others improvements in wages periodical test, leave.

    2. Social function: Under social function improve the quality of work life, education, communicatresearch, counseling.

    3. Political function: Related to the function of a political labour party or those reflecting an attempt to influence on public policy relating to matter connected with the industry members, basically political func

    influence by government policy decisions in the interest of workers.

    4. Militant function:- Main aim of the union is to secure better conditions of work and employment.

    5.Federal function:- Federal function or a mutual benefit organisation supporting the member out of their

    funds during the period of work stoppage due to strike or lockout. It also provides financial assistance to

    member during the period when they are only their work because of illness or employment injury or when are temporary employed.

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    Federal function divides in two parts.

    a) Infra-mural activities: Such functions of unions leads the betterment of employment conditionemployees such as adequate salary etc collective bargaining, negotiation etc.

    b) Extra-mural activities:- Such functions help the employee to maintain and improve their efficiency s

    as promote, friendly relation, education and culture among members.

    *****************************************************************************************

    UNIT -3

    Q.10: Give a comprehensive note on legal framework of industrial relations in India.

    Or

    Write a short note on (a) Industrial disputes Act 1947, (b) the payment of wages Act 1936 (c) ILO,

    Standing order Act. 1946,

    Ans:- The government of India has also given some legislative provisions at workplace. All there lab

    legislations are based on the recommendation of ILO (International Labour Oraganisation) to which India member country.

    1. Role of International labour organisationThe ILO is a tripartite organisation consisting of representatives of the government employers

    workers of the member countries. India has been an active member of the ILO.

    As one of the ten countries of chief industrial important: India holds a elective seat on ILOs govern

    body. It is a member of 5 committees of the governing body.a) Programme, finance and administrative.b) Legal issue and internal labour standard.c) Employment and social policy

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    d) Technical cooperatione) Sectoral and technical meetings and related issues.

    The main purpose and function of ILO is improvement of conditions urgently

    required in varied particulars.

    The regulation of labour supply. The prevention, protection and adequate living wage. The protection health, wealth, education and communication. Permission for old age and injury. Recognition of the freedom of association.

    The fundamental principle ILO:- Labour is not a commodity. Poverty anywhere constitutes a change to prosperity everywhere.

    ILO major three directions Establishment of tripartite international committees. The holding of regional conferences The development of operational activities.

    1. ILO conventions in India (1994)

    The ILO 176 conventions out of which it has satisfied 36 conventions. ILO conventions emphasis- Bhuman rights, employment migrant workers etc.

    2. Labour Legislations in India

    In India law forms the most powerful instruments through which the government regulates Indusrelations between the employees and employers. Legal framework:-

    a) The trade union Act 1926It is the only legal framework for the trade union movement in the country. It legalizes the formatio

    trade unions by conceding to workmen their right of association and organizing unions. It permits any 7 pers

    to term their union and get it registered under the act. Registration of union is optimal and not compulsory.b) The Industrial Employment Act 1946, (Standing order)-

    The Act clearly says the Standing orders shall deal with the conditions of employment of workers inindustrial establishment.

    The main aims of the act:- To define with sufficient precisions, the principal conditions of employmen

    industrial establishments under them and to make the said conditions known to workmen employed by themregulate standards of conduct of the employers and employee that labour-management relations could

    improved. Maintain discipline, harmonious working conditions, duties and responsibilities of employers

    employee. Etc.

    c) The Industrial Disputes Act 1947.The best way to make provision for the investigation and settlement of industrial disputes and for cer

    other purposes.This act deals with the prevention and settlement of dispute between two parties and thereby try

    improve relationship between them.

    On the basis of the judgments given time to time, by the Supreme Court, the principle objectives of the

    may be stated as follows:- Good relations between employees and employers. To prevent illegal strikes and lockouts. To provide relief to workmen in matters of lay-offs, retrenchment, wrong dismissals and motiveness.

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    To give the workmen the right of collective bargaining and promote conciliation.

    The purpose of the Act, according to Patna High Court , is A melioration of the conditions of workmen in an industry

    d) The payment of wages of Act 1936.

    Under this act the employers determined the mode and manner of wage payment as they liked. Even wpaid in cash, wages were paid in illegal tender and in the form of deprecated currency.

    e) The Minimum Wages Act 1948

    This act is to secure the welfare of the workers in a competitive market by providing a minimum rat

    wages in certain employments. Under this act provide- education, social and medical requirements.

    f) The factories Act 1948

    This act come into force on April 1st

    1949. The main aims of this act t secure health, welfare, proper u

    hours, leave and other benefits for workers employed in factories.

    g) The payment of Bonus Act 1965The Bonus act is the outcome of the recommendation made by the impartite commission, which was

    by the government of India way back in 1961. the main aims to outline the principles of payment of boaccording to perfect formula . to provide machinery for enforcement of bonus etc.

    Conclusions: Above discuss framework of industrial relation is based totally improvement in workers work

    conditions and maintain harmonious relationship.

    Q.11:- Design a suitable grievance procedure which could be set in an industry for the early settlement

    the grievance determine grievance.

    Ans: Grievance :- the term grievance means any discontent or dissatisfaction According to Mandy Neo:- Employees dissatisfaction or feeling of personal injustice relating to his or her employment.

    Grievance procedure is an important element of a sound industrial relations machinery prompt and effecdisposal of workers grievance is the key to industrial peace.

    According to Chandra:- The following area were course of employee grievance.:-1. Promotions, 2) Amenities, 3) Continuity of service, 4) Compensation, 5) Disciplinary action, 6) fines

    Leaves, 8) Medical benefits, 9) Increments, 10) Nature of job, 11) payment, 12) Recovery of duties etc

    Grievance in Industry:-There are many factors in industry which make a worker unhappy and dejected. May be his fe

    workers are non-cooperative or his foremans harsh remarks or his own personal problems outside the factor

    domestic matters. Poverty, debts, unemployed, etc may be adversely in his mind. He looks around and feverybody being unkind to him. He is aggrieved & wants to ventilate his feeling and reactions. A well defi

    grievance procedure is an important element by a sound industrial relations machinery.

    Grievance procedure in Indian industry :-

    In India settlement of grievance did not receive adequate attention in the legislative framework till

    enactment of industrial employment act 1946, & the factory act 1948. The industrial employment act provthat every establishment employing 100 or more workers should frame standing orders which should conta

    many other matters, provision for means of redressal for workmen against unfair treatments or wrongful acti

    by employer or his agents or servants.

    Grievance ProcedureBefore grievance procedure managing grievance in following ways-under. Managing grievance cove

    steps:-

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    1. Receiving and defining the nature of the dissatisfaction2. Getting the facts.3. Analyzing the facts and reaching a decision.4. Applying the answer5. Follow-up.

    Grievance procedure

    Grievant Management

    Stage-I

    Grievant- conveys viability. Officer designated by management to deal with grievanc

    this initial stage. To reply in 48 hours.

    Not satisfied go to

    Stage-IIGrievant & Departmental representatives Head of department (meet at pre-allocated time daily

    grievance handling) reply in3 days

    Decision Unsatisfactory

    Stage-IIIGrievant and Departmental representatives Grienance committee to decide in 7 days and report to

    manager. If the decisionis decision is is unanimous, the

    should be implemented by the management. Time limit days.

    Decision not in time or not satisfactory.

    Stage- IVGrievant & departmental representatives Appeal to management for revisio. A week for appeal to

    considered.

    No agreement

    Stage-VGrievant management may refer Voluntary arbitration with in a week a

    To union. After decision from Stage-IV

    The major determinate of grievance includes- management practices, Union practices, industrial personality tra

    A) Management practices:

    1) The behaviour of supervisor, peers group can cause grievance.2) The improper division of work among employees lead to employee grievance.3) The autocratic organizational environment can cause grievance.4) Employer compensation, overtime, role clarity, leave.

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    B) Union Practices:

    1) Motivating employees2) Lobbying for numerical strength & support.

    C) Individual personality Trait

    1. Narrow Attitude

    2. Highly educated workers.

    Conclusion :- Grievance efficiently, it is necessary to find and analyse the grievances of the subordinates.

    *****************************************************************************************

    Q.12:- Discuss the importance of collective bargaining asa method of regulating relations betw

    employers and employees. What are the pre-requisites to make it successful?

    Ans:- Introduction:- Collective bargaining is concerned with relations between unions representing employ

    and employer. It involves the process of union organisation of employees, negotiation, administration, hour

    work, engaging in concerned economic action and disputes settlement procedure.

    Importance of collective bargaining:-

    Collective bargaining helps to promote cooperation & mutual understanding between the workers andmanagement. It provides framework for deciding the terms and conditions of employment without resor

    strikes and lockouts and without the intervention of outsides. Some importance of collective bargaining:-

    1) Collective bargaining increases the morale and productivity of employees.

    2) Effective collective bargaining machinery strengths the trade union management.3) Collective bargaining opens up the channels of communication between the top and bottom levels of

    organisation, which may be difficult otherwise.4) It is easier for the management to resolve issues at the bargaining table rather than taking up complaint

    employees individually.

    5) Collective bargaining to industrial peace in the country.6) Collective bargaining is a continuous process.7) Collective bargaining maintains harmonious relationship.

    Methods of collective Bargaining:-The level of enterprise there may occur.

    a) Company bargaining between representatives of union and management.b) National bargaining may occurs at the level of industry between the representatives of a union o

    federation of employers association.

    c) Effort bargaining where the amount of work to be accomplished for a predetermined wage beconegotiable alike the wage itself.

    d) Productivity bargaining irrespective of financial system involved.Bargaining can be formal as well as informal formal includes

    Formal = basic wage rate, condition of work.

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    Informal = financial incentives, disciplines, work practices.

    Process of collective bargainingCollective bargaining has two facts:

    A) The negotiation state.B) The stage of contract administration.

    The process of Collective Budgeting involves major six steps:-

    A) Negotiation state:-Certain proposals are put forward which explore the possibility of their acceptance and have the wa

    mutually agreed terms after careful deliberation & consideration. The negotiation involve three steps

    1) Preparation for negotiation :-Under first step prepare specific proposal for changes in the contract language. Prepare statistical disp

    and supportive date for use in negotiations. The attitude and desirous of the employees.

    2) Identify Bargaining issues:- it is divides in 4 categories.

    Wages related issues, supplementary economic benefits, institutional issues, administrative issues.

    3) Negotiating:- means bargaining the success of negotiation depends are skills and abilities of negotiators.

    B) Contract Administration:-When the process of negotiation has been completed, it is time to sign the contract, the terms of wh

    must be sincerely observed by both the parties.

    Under two process:-

    1) Settlement and contract agreement2) Administration of the agreement.

    Some important prerequisites for collective bargaining to make successful:

    1) It is important for the management to recognize the union and to bargain in more good faith.2) Both the management and union should be able to identify grievance, safely and hygiene problem o

    routine basis.3) Trade union encourages internal union democracy and have periodic consultations with the rank &

    members.

    4) The negotiating teams should have open minds; to listen & appreciate the others concern & point of and also show flexibility in making adjustments to the demand made.

    Collective bargaining in developed and developing countries based on some perfect difference ideolog

    political, social differences.

    Conclusion:- Collective bargaining is the beginning of industrial jurisprudence. It is a method of enfor

    citizenship right in industry i.e. management rules and decision.

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    UNIT 4

    Q.13:- Employee empowerment is an important motivational tool organisatoin can use. Discuss

    statement and explain how empowerment motivates employees.

    Ans:- Empowerment mean to enable, to give power, to allow or to permit. Empowerment as an act of build

    development and increasing power. Empowerments as a motivational concept associated with enabling rathan delegating. Empowerment process include u-step model- preparation, creak tommer, vision and change.

    Employee empowerment is an important motivational tool in organization.

    1) A flatter organization structure facilitating dispersion of authority.2) Participative decision making and allied activities in the organization.3) Open communication systems and exchange of information.4) Resource sharing.

    Empowering employees no longer remains an optical decision, but has become necessity to make organizaflexible and adoptable to the volatile environment. Why are more and more companies empowering employ

    One reason is the need of quick decisions by those people, who are most knowledgeable about the issue. O

    those at lower organizational levels.If organizations are to successfully complete in a dynamic global economy. They have to be able to m

    decision and implement changes quickly. Another reasons is the reality that organizational downsizing during

    last part of the twentieth century left many managers with larger spans of control. In order to cope with increased work demands manager had to empower their people.

    If an organisation implements employee empowerment properly: - the productivity gains, qu

    improvement more satisfied customers, increased employee motivation and improved morale. But the primarole of management is to support and simulate their people, co-operate to overcome cross functional barr

    and work to eliminate fear within their own team.

    Success with empowermentSaturn a highly successful American Car manufacture, empowered its employees by the work team. Even

    design process involves a high degree of employee participation. In the Saturn case, empowerment bec

    directly linked to responsibility, and employees make suggestion how to improve processes.

    Managerial imperatives for successful empowerment.

    The role of lower and middle level managers is vital for the success of empowerment programs

    frontier.

    According to Rust, Zaharik and Kenny have highlighted a new duties at the managerial level, which arfollows:-

    1) Mentoring:- Employees in problem solving, decision- making and team works skills

    2. Coaching: Employee to do their more better.

    3. Setting goals: are providing in centimes through compensation and special awards both mone

    and otherwise.

    4. Facilitating: The work after front line by making available necessary resource and training.

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    5. Coordinating : The work of teams helping to resolve problems within and between teams.6. Monitoring and evaluating: Internal and external performance

    How empowerment motivates employee under concept proper process of empowerment to motiv

    employees?

    The process of empowerment will differ from organization to organization depending on their.

    Concept of empowerment Organizational objectives and strategies. Resource and financial position. Attitudes towards customer & employee Employees knowledge skills.

    It is a philosophical concept that organizations have to buy into:- for many organisation include some. Impor

    facts values, leadership, job structure and reward system.

    Process of empowerment divide into 3 steps.

    a) Studying the working environment of the employees.b) Redefining tasks and reallocating resources.c) Focusing on the psychological & motivational needs of employee in empowered position.

    a) Studying the working environment of the employees.Empowerment is brought into meet several objectives such as improving the quality of services incre

    productivity, improved morale etc.

    Studying the work environment of the employee work:-

    i) Present level of employee- skills, confidence, etc.ii) Financial and physical resources of the organization

    iii) Relationship between employee and employer, decision-making authority and responsibility.Above studying preliminary analysis helps management design the empowering process for employees.

    b) Redefining tasks and reallocating resources.Redefining task and reallocating resources include number of activities such as information sharing, redesign

    communication system job enrichment, allocating resources, decision-making etc.

    According to Palin empowerment has three major dimensions. Participative decision making Resource availability. Decision-making authority.

    Above discussion about perfect information about organizations performance, knowledge, decision making.

    c) Focusing on the psychological and motivational needs of employees in empowered position:

    Under this three steps are involved:- discussion about delegating authority to employees maynecessary to empower them. Main focusing motivational construction. The act of giving a person a sense

    power.

    Conclusion :- Empowerment has come to play a major role in corporate excellence. Empowerment means givthe employees the authority to make decisions and providing them with financial resources to implement t

    decisions.

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    ********************************************************************************************

    Q.14:- Concept of WPM is facing tough times today and reason lies on part of all those involved.

    Ans:- The term participation is derived from Latin word Participare that mean taking part or sharing shavin

    a bilateral process involving motivational & functional manifestations, the term worker participation invosharing in an appropriate manner. The decision- making power with the lower ranks of the organization.

    According to Kenneth Walyer.Worker participation in management is a resounding phase, bridging the past and the future.

    (I) Concept:-The technique of the workers participation in management has been regarded as a powerful behavi

    tool for managing the industrial relation system. The concept of the WPM crystallizes the concept of indus

    democracy and indicates an attempt on the employer to build his employee into a team, which works towards

    realization of common objectives. It is a mental and emotional involvement of a

    person in a group situation which encourages him to constitute to goals and share responsibilities with them.a) The participation enhances employees ability to influences decision making at different tiers of

    organizational hierarchy with concomitant assumption of responsibility.

    C) The participation has to be at different levels of management- at the shop level

    - at the departmental level

    - the decision- making at there different levels.

    c) WPM concept the growth of trade unions, which safeguard the interest of workers and protect them aga

    possible exploitation by their employees.

    d) Improving the efficiency of enterprises and maintain harmonious industrial relations.

    e) Ethical moral concept is very important in organization.

    f) Economic benefits relate directly or indirectly to increase efficiency of the undertaking.

    II) Types of involvement and participation of employer at different levels/forms

    Involvement and participation takes various forms at different level in an organisation.

    a) Job level:-

    Involves team leader and their team and the processes include the communication of information ab

    work and interchange of ideas about how the work should be done.

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    b) Management Level:can involve sharing information and decision-making.

    c) Policy making level;Involve where the direction in which the business is going is determined, total participation would im

    sharing the power to make key decision.

    d) Ownership level:-

    Participation implies a share in the equity:-

    SCALE OF PARTICIPATION:

    Requirements for successful employee involvement & participationThe totally success of workers participation depends important points:-

    - Building must- Eliminating status differentiate.- Trading and development organization culture.

    According to Armstrong suggested the following ten basic requirement for success:-

    1.) The objectives of participation must be defined.2.) Clear information about company policies.

    Employeesdecideunilaterally

    Managementjoins withemployees indecision-makin

    Managementconsistsemployeesbefore makingfinal decision

    Management

    communicatedecisions toemployees

    Managementdecidesunilaterally

    Degree to whichmanagement pre-negative is

    preserved

    Degree to which employeeare involved.

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    3.) During decision making select the best alternative4.) Morale or ethical concept is important.5.) Negotiating policies6.) Rules and responsibilities7.) Meeting is important during participation.8.) Collaboration system9.) Consultation10.) Training and development education.

    III) At present the following participative forms are prevalent in India.

    1. Work committee:- Set-up under the industrial disputes Act 1947.

    2. Joint- Management councils : Set-up as a result of the labour management co-operation seminar 1958

    3. Workers representatives on the Board of Management (1970)

    4. Unit councils (5th

    Jan 1977)5. Plant councils (Operational, Economic, financial & personnel, welfare, environmental)

    6. Shop councils (increased productivity & efficiency) 1975

    Conclusion:- The concept of WPM is a broad one.

    Q.15:- Define Total Quality Management (TQM) quality and QM? How to identify cost and the rol

    vendors in QM?

    Ans:- Definition:-

    TQM Total Quality Management is an approach to improving the effectiveness and flexibility of business whole. It is essentially a way of organizing and involving the whole organisation every department, every activ

    every single person at every level

    TQM is a programmatic long-term approach, it is initiated and driven by top management.

    Quality: Quality is fitness for use. Quality means best for certain customer condition. These conditions are:

    actual use and the selling price of the product.

    QM:- Quality management is an integration of all behavioural operations, which is essential in assining. Smo

    and coordinated function of the organization. OM today is network of relationship.

    The basic pattern of Quality cost: -

    Quality cost:-

    Quality costs are a measure of all costs associated with achievement of product quality. Tradition

    collection and analysis of quality related costs received less attention because of the lack o f understanding ofconcept and difficulties in measuring & linking it with the organizations cost system.

    The measurement of these costs helps to:-

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    1. Highlights to all employees the important of product & service quality to business profitability.2. Form a basis for decision making.3. Identify area which need immediate attention & improvement4. Measure the effect of action taken5. Budget the expenditure for accomplishing the QM Program

    For achieving these purpose an understanding of quality costs and a program for evaluating therrequired.

    Quality cost in cussed in manufacturing are divide into 4 major classification:-

    (1) Prevention Costs:-

    This category involves all those activities aimed at preventing defects, defective products and errors

    the one hand and building acceptable quality into products and services on the other. It includes designmaintaining, implementing auditing. The quality system where such a system is actually identified. It includes

    Planning, training, seminars, customer survey, customer research oriented at improving quality. If preventi

    used in a negative term should be replaced in QM by a new phrase as cost of building acceptable quality. main term quality control activities, preventing deficits and errors.

    (2) Appraisal Costs:-

    Those costs incurred in attempting to measure the extent to which QM objectives are met. This categinvolves all activities measuring, inspecting, testing and auditing products and performance to determ

    confirmation, standards of performance & specification. It includes performance of employees, performanc

    equipment and machines, laboratory tests, quality audits, testing, sampling.

    3) Failure Costs:- Divide in two parts.

    a) Internal failure costs:- There are the costs which are incurred because of defects in the product befor

    shipment to a customer.

    These include:- Scrap and rework.

    - Downtime costs,

    b) External Failure Costs:- There represent all costs incurred on defective products after it is deliberatea customer.

    - Investigating and solve problem- Liability and penalties costs.

    Analysis and use of Quality Costs:-

    The quality cost data collected through a systematic program need to be analyzed for orienting efforts to redthem. If prevention is perfect no failure of prevention is not perfect failure.

    Always analysis quality costs involvesi) Use zero defect programs to eliminate failure costs.

    ii) Review the quality standards for their utility.

    iii) Use cause and effect analysis to reveal failure and causes for it.

    iv) Eliminate through effective corrective action.

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    The role of vendors in QM (Quality Management)Vendors mean one who sells. Vendors play a important role in quality management. Vendors role

    setting the standards for quality because vendors know customer requirements actions, behaviour and attitudes

    1. It role setting the standards for quality.2. It role meeting the requirements in specific time.3. Vendors attend QM seminars.4. Vendors maintain coordination function in QM operations.5. Vendors carry out the main objective of customer satisfaction.6. It role continuous improvement in quality management system

    Conclusion:- QM is multifaceted in nature. QM isantal components is required to achieve the desired goal.

    *****************************************************************************************