Q1. Define culture. What are the characteristic of organization culture?

Culture is the characteristics of a particular group of people, defined by everything from

language, religion, cuisine, social habits, music and arts. Or Culture: The system of shared
beliefs, values, customs, behaviors, and artifacts that the members of society use to cope with
their world and with one another, and that are transmitted from generation to generation through
learning.
Characteristics of Organizational Culture:
1. Innovation (Risk Orientation) - Companies with cultures that place a high value on
innovation encourage their employees to take risks and innovate in the performance of their
jobs. Companies with cultures that place a low value on innovation expect their employees
to do their jobs the same way that they have been trained to do them, without looking for
ways to improve their performance.

2. Attention to Detail (Precision Orientation) - This characteristic of organizational culture
dictates the degree to which employees are expected to be accurate in their work. A culture
that places a high value on attention to detail expects their employees to perform their work
with precision. A culture that places a low value on this characteristic does not.

3. Emphasis on Outcome (Achievement Orientation) - Companies that focus on results, but
not on how the results are achieved, place a high emphasis on this value of organizational
culture. A company that instructs its sales force to do whatever it takes to get sales orders
has a culture that places a high value on the emphasis on outcome characteristic.

4. Emphasis on People (Fairness Orientation) - Companies that place a high value on this
characteristic of organizational culture place a great deal of importance on how their
decisions will affect the people in their organizations. For these companies, it is important
to treat their employees with respect and dignity.

5. Teamwork (Collaboration Orientation) - Companies that organize work activities around
teams instead of individuals place a high value on this characteristic of organizational
culture. People who work for these types of companies tend to have a positive relationship
with their coworkers and managers.

6. Aggressiveness (Competitive Orientation) - This characteristic of organizational culture
dictates whether group members are expected to be assertive or easygoing when dealing
with companies they compete with in the marketplace. Companies with an aggressive
culture place a high value on competitiveness and outperforming the competition at all
costs.

7. Stability (Rule Orientation) - A company whose culture places a high value on stability are
rule-oriented, predictable, and bureaucratic in nature. These types of companies typically
provide consistent and predictable levels of output and operate best in non-changing market
conditions.

Q2. What are different types of organizational structures? Explain.
Organizational Structure Types
Following are the types of organizational structures that can be observed in the modern business
organizations.
Bureaucratic Structures
Bureaucratic structures maintain strict hierarchies when it comes to people management. There
are three types of bureaucratic structures:
1 - Pre-bureaucratic structures
This type of organizations lacks the standards. Usually this type of structure can be observed in
small scale, start-up companies. Usually the structure is centralized and there is only one key
decision maker.
The communication is done in one-on-one conversations. This type of structures is quite helpful
for small organizations due to the fact that the founder has the full control over all the decisions
and operations.
2 - Bureaucratic structures
These structures have a certain degree of standardization. When the organizations grow complex
and large, bureaucratic structures are required for management. These structures are quite
suitable for tall organizations.
2 - Post-bureaucratic Structures
The organizations that follow post-bureaucratic structures still inherit the strict hierarchies, but
open to more modern ideas and methodologies. They follow techniques such as total quality
management (TQM), culture management, etc.
Functional Structure
The organization is divided into segments based on the functions when managing. This allows
the organization to enhance the efficiencies of these functional groups. As an example, take a
software company.
Software engineers will only staff the entire software development department. This way,
management of this functional group becomes easy and effective.
Functional structures appear to be successful in large organization that produces high volumes of
products at low costs. The low cost can be achieved by such companies due to the efficiencies
within functional groups.
In addition to such advantages, there can be disadvantage from an organizational perspective if
the communication between the functional groups is not effective. In this case, organization may
find it difficult to achieve some organizational objectives at the end.

Divisional Structure
These types of organizations divide the functional areas of the organization to divisions. Each
division is equipped with its own resources in order to function independently. There can be
many bases to define divisions.
Divisions can be defined based on the geographical basis, products/services basis, or any other
measurement.
As an example, take a company such as General Electrics. It can have microwave division,
turbine division, etc., and these divisions have their own marketing teams, finance teams, etc. In
that sense, each division can be considered as a micro-company with the main organization.


Matrix Structure
When it comes to matrix structure, the organization places the employees based on the function
and the product.
The matrix structure gives the best of the both worlds of functional and divisional structures.
In this type of an organization, the company uses teams to complete tasks. The teams are formed
based on the functions they belong to (ex: software engineers) and product they are involved in
(ex: Project A).
This way, there are many teams in this organization such as software engineers of project A,
software engineers of project B, QA engineers of project A, etc.

Conclusion
Every organization needs a structure in order to operate systematically. The organizational
structures can be used by any organization if the structure fits into the nature and the maturity of
the organization.
In most cases, organizations evolve through structures when they progress through and enhance
their processes and manpower. One company may start as a pre-bureaucratic company and may
evolve up to a matrix organization.




Q3. What do you mean by change agent? Explain importance and characteristics of change
agent.
A change agent is a person who indirectly or directly causes change. For example, a change
agent may work within an organization to lead or cause the change in some aspect of how the
business is conducted. They may be assigned the role or may assume the role naturally. Some
change agents surface as leaders, instigators or examples for change in cultural, social or human
behavior.
A change agent may initiate change, assist others in understanding the need for change and what
is entailed, recruit support, manage the change process and/or assist in resolving conflict. In
some cases the agent of change may be a team on a mission.
It is also possible for a change agent to be an event or condition. A storm, for example, can be a
change agent.
Importance and Characteristics of change agent.
1. Change agents have deep knowledge of their environment. This understanding of rules and guidelines
helps change agents learn where they have flexibility in their decision-making and gives them the
confidence to push boundaries.
2. Change agents have a plan. Successful change agents systematically execute against an action plan.
They consistently engage with stakeholders across the organization, follow through on their promises, and
deliver whats expected, when its expected. They arent afraid to adapt their plan to evolving
circumstances if the impact to the workforce doesnt play out exactly as expected (and when does it
ever?).
3. Effective change agents understand change is personal. Each person impacted by a change makes an
individual decision to move forward with the change or to resist it. There is not a universal strategy a
single communication medium, one leader, one key activity that will unilaterally move all affected staff
forward through change. Successful change agents use different techniques to help different people move
forward and always respect the individual in the process.
4. Effective change agents use data. Whether its through formal surveys on communication effectiveness,
measuring process improvement or reduction in cost, change agents use data to measure success. If the
program has not achieved its goals within a reasonable time frame, they dig in to understand why and
adapt plans accordingly.
5. Effective change agents are not afraid of failure. In fact, they learn from their failures and move on.
Rather than stick to the tried-and-true, effective change agents look for opportunities to engage the
workforce in new ways, even when unproved. They are smart and prudent in how they do it, and they
start small and persist even when things dont go as planned.


Q4. Explain various methods of performance appraisal?
METHODS OF PERFORMANCE APPRAISALS
Numerous methods have been devised to measure the quantity and quality of performance
appraisals. Each of the methods is effective for some purposes for some organizations only.
None should be dismissed or accepted as appropriate except as they relate to the particular needs
of the organization or an employee.
Broadly all methods of appraisals can be divided into two different categories.
Past Oriented Methods
Future Oriented Methods
Past Oriented Methods
1. Rating Scales: Rating scales consists of several numerical scales representing job related
performance criterions such as dependability, initiative, output, attendance, attitude etc. Each
scales ranges from excellent to poor. The total numerical scores are computed and final
conclusions are derived. Advantages Adaptability, easy to use, low cost, every type of job can
be evaluated, large number of employees covered, no formal training required. Disadvantages
Raters biases

2. Checklist: Under this method, checklist of statements of traits of employee in the form of
Yes or No based questions is prepared. Here the rater only does the reporting or checking and
HR department does the actual evaluation. Advantages economy, ease of administration,
limited training required, standardization. Disadvantages Raters biases, use of improper weighs
by HR, does not allow rater to give relative ratings

3. Forced Choice Method: The series of statements arranged in the blocks of two or more are
given and the rater indicates which statement is true or false. The rater is forced to make a
choice. HR department does actual assessment. Advantages Absence of personal biases
because of forced choice. Disadvantages Statements may be wrongly framed.

4. Forced Distribution Method: here employees are clustered around a high point on a rating
scale. Rater is compelled to distribute the employees on all points on the scale. It is assumed that
the performance is conformed to normal distribution. Advantages Eliminates Disadvantages
Assumption of normal distribution, unrealistic, errors of central tendency.

5. Critical Incidents Method: The approach is focused on certain critical behaviors of
employee that makes all the difference in the performance. Supervisors as and when they occur
record such incidents. Advantages Evaluations are based on actual job behaviors, ratings are
supported by descriptions, feedback is easy, reduces recency biases, chances of subordinate
improvement are high. Disadvantages Negative incidents can be prioritized, forgetting
incidents, overly close supervision; feedback may be too much and may appear to be
punishment.
6. Behaviorally Anchored Rating Scales: statements of effective and ineffective behaviors
determine the points. They are said to be behaviorally anchored. The rater is supposed to say,
which behavior describes the employee performance. Advantages helps overcome rating
errors. Disadvantages Suffers from distortions inherent in most rating techniques.
7. Field Review Method: This is an appraisal done by someone outside employees own
department usually from corporate or HR department. Advantages Useful for managerial level
promotions, when comparable information is needed, Disadvantages Outsider is generally not
familiar with employees work environment, Observation of actual behaviors not possible.

8. Performance Tests & Observations: This is based on the test of knowledge or skills.
The tests may be written or an actual presentation of skills. Tests must be reliable and
validated to be useful. Advantage Tests may be apt to measure potential more than
actual performance. Disadvantages Tests may suffer if costs of test development or
administration are high.

9. Confidential Records: Mostly used by government departments, however its application
in industry is not ruled out. Here the report is given in the form of Annual Confidentiality
Report (ACR) and may record ratings with respect to following items; attendance, self
expression, team work, leadership, initiative, technical ability, reasoning ability,
originality and resourcefulness etc. The system is highly secretive and confidential.
Feedback to the assessee is given only in case of an adverse entry. Disadvantage is that it
is highly subjective and ratings can be manipulated because the evaluations are linked to
HR actions like promotions etc.


10. Essay Method: In this method the rater writes down the employee description in detail
within a number of broad categories like, overall impression of performance,
promoteability of employee, existing capabilities and qualifications of performing jobs,
strengths and weaknesses and training needs of the employee. Advantage It is
extremely useful in filing information gaps about the employees that often occur in a
better-structured checklist. Disadvantages It its highly dependent upon the writing skills
of rater and most of them are not good writers. They may get confused success depends
on the memory power of raters.

11. Cost Accounting Method: Here performance is evaluated from the monetary returns yields
to his or her organization. Cost to keep employee, and benefit the organization derives is
ascertained. Hence it is more dependent upon cost and benefit analysis.
12. Comparative Evaluation Method (Ranking & Paired Comparisons): These are
collection of different methods that compare performance with that of other co-workers. The
usual techniques used may be ranking methods and paired comparison method.
Ranking Methods: Superior ranks his worker based on merit, from best to worst. However how
best and why best are not elaborated in this method. It is easy to administer and explanation.
Paired Comparison Methods: In this method each employee is rated with another employee in
the form of pairs. The number of comparisons may be calculated with the help of a formula as
under.
N x (N-1) / 2
Future Oriented Methods
1. Management by Objectives: It means management by objectives and the performance is
rated against the achievement of objectives stated by the management. MBO process goes as
under.
Establish goals and desired outcomes for each subordinate
Setting performance standards
Comparison of actual goals with goals attained by the employee
Establish new goals and new strategies for goals not achieved in previous year.
Advantage It is more useful for managerial positions.
Disadvantages Not applicable to all jobs, allocation of merit pay may result in setting short-
term goals rather than important and long-term goals etc.
2. Psychological Appraisals: These appraisals are more directed to assess employees potential
for future performance rather than the past one. It is done in the form of in-depth interviews,
psychological tests, and discussion with supervisors and review of other evaluations. It is more
focused on employees emotional, intellectual, and motivational and other personal characteristics
affecting his performance. This approach is slow and costly and may be useful for bright young
members who may have considerable potential. However quality of these appraisals largely
depends upon the skills of psychologists who perform the evaluation.
3. Assessment Centers: This technique was first developed in USA and UK in 1943. An
assessment center is a central location where managers may come together to have their
participation in job related exercises evaluated by trained observers. It is more focused on
observation of behaviors across a series of select exercises or work samples. Assessees are
requested to participate in in-basket exercises, work groups, computer simulations, role playing
and other similar activities which require same attributes for successful performance in actual
job. The characteristics assessed in assessment center can be assertiveness, persuasive ability,
communicating ability, planning and organizational ability, self confidence, resistance to stress,
energy level, decision making, sensitivity to feelings, administrative ability, creativity and
mental alertness etc. Disadvantages Costs of employees traveling and lodging, psychologists,
ratings strongly influenced by assessees inter-personal skills. Solid performers may feel
suffocated in simulated situations. Those who are not selected for this also may get affected.
Advantages well-conducted assessment center can achieve better forecasts of future
performance and progress than other methods of appraisals. Also reliability, content validity and
predictive ability are said to be high in assessment centers. The tests also make sure that the
wrong people are not hired or promoted. Finally it clearly defines the criteria for selection and
promotion.
4. 360-Degree Feedback: It is a technique which is systematic collection of performance data
on an individual group, derived from a number of stakeholders like immediate supervisors, team
members, customers, peers and self. In fact anyone who has useful information on how an
employee does a job may be one of the appraisers. This technique is highly useful in terms of
broader perspective, greater self-development and multi-source feedback is useful. 360-degree
appraisals are useful to measure inter-personal skills, customer satisfaction and team building
skills. However on the negative side, receiving feedback from multiple sources can be
intimidating, threatening etc. Multiple raters may be less adept at providing balanced and
objective feedback.