Preface

In this era, where the technology is growing in a very faster

speed and every positive change is bringing new and enhanced
features with them, the cellular phones are at the very hot issue in
this growing technology.
The technologies in these cellular/mobile phones are enhancing and
developing day by day, including new features of entertainment,
and multiple options like imaging facilities, movie/animation
features, sound technologies etc.
When the technology is the matter, every consumer/user prefers the
latest, best and interacting featured technologies and also prefers
these facilities in less cost. So, in this view, there is a very big and
fast competition between many companies/manufacturers of cellular
phones at the world level.
So I have choose the nokia for my project on organizational change
in nokia & stress management strageies.

1.

Nokias History

Introduction of Nokia:
Nokia Corporation is a Finnish multinational communications
corporation that is headquartered in Keilaniemi, Espoo, a city
neighboring Finland's capital Helsinki. Nokia is engaged in the
manufacturing of mobile devices and in converging Internet and
communications industries, with over 123,000 employees in 120
countries, sales in more than 150 countries and global annual
revenue of EUR 41 billion and operating profit of 1.2 billion as of
2009.It is the world's largest manufacturer of mobile telephones: its
global device market share was about 39% in Q4 2009, up from 37%
in Q4 2008 and 38% in Q3 2009, and its converged device market
share was about 40% in Q4, up from 35% in Q3 2009. Nokia
produces mobile devices for every major market segment and
protocol, including GSM, CDMA, and W-CDMA (UMTS). Nokia offers
Internet services such as applications, games, music, maps, media
and messaging through its Ovi platform. Nokia's subsidiary Nokia
Siemens
Networks
produces
telecommunications
network
equipment, solutions and services. Nokia is also engaged in
providing free digital map information and navigation services
through its wholly-owned subsidiary Navteq.
Nokia has sites for research and development, manufacture and
sales in many countries throughout the world. As of December 2009,
Nokia had R&D presence in 16 countries and employed 37,020
people in research and development, representing approximately
30% of the group's total workforce. The Nokia Research Center,
founded in 1986, is Nokia's industrial research unit consisting of
about 500 researchers, engineers and scientists. It has sites in seven
countries: Finland, China, India, Kenya, Switzerland, the United
Kingdom and the United States.
3

Nokia is a public limited liability company listed on the Helsinki,

Frankfurt, and New York stock exchanges.Nokia plays a very large
role in the economy of Finland; it is by far the largest Finnish
company, accounting for about a third of the market capitalization of
the Helsinki Stock Exchange (OMX Helsinki) as of 2007, a unique
situation for an industrialized country. It is an important employer in
Finland and several small companies have grown into large ones as
its partners and subcontractors.Nokia increased Finland's GDP by
more than 1.5% in 1999 alone. In 2004 Nokia's share of the Finnish
GDP was 3.5% and accounted for almost a quarter of Finland's
exports in 2003.
So,I select Nokia corporation as my project topic, and I will study
finance ,marketing , human resource deparments of nokia
corporation and discuss how change mangement enters in nokia
corporation and how it whats are its effects on both the internal and
external environment of the company.

Nokias first century: 1865-1967

The first Nokia century began with Fredrik Idestam's paper mill on
the banks of the Nokianvirta river. Between 1865 and 1967, the
company would become a major industrial force; but it took a
merger with a cable company and a rubber firm to set the new
Nokia Corporation on the path to electronics...

1865:
The
birth
of
Nokia
Fredrik Idestam establishes a paper mill at the Tammerkoski Rapids
in south-western Finland, where the Nokia story begins.

1898:
Finnish
Rubber
Works
founded
Eduard Poln founds Finnish Rubber Works, which will later become
Nokia's rubber business.

1912:
Finnish
Cable
Works
founded
Arvid Wickstrm starts Finnish Cable Works, the foundation of
Nokia's cable and electronics businesses.

1937:
Verner
Weckman,
industry
heavyweight
Former Olympic wrestler Verner Weckman becomes President of
Finnish Cable Works.

1960:
First
electronics
department
Cable Works establishes its first electronics department, selling and
operating computers.

1962:
First
in-house
electrical
device
The Cable Works electronics department produces its first in-house
electrical device - a pulse analyzer for nuclear power plants.

1967:
The
merger
Nokia Ab, Finnish Rubber Works and Finnish Cable works formally
merge to create Nokia Corporation.

The newly formed Nokia Corporation was ideally positioned for a

pioneering role in the early evolution of mobile communications. As
European telecommunications markets were deregulated and mobile
networks became global, Nokia led the way with some iconic
products...

1979:
Mobira
Oy,
early
phone
maker
Radio telephone company Mobira Oy begins life as a joint venture
between Nokia and leading Finnish television maker Salora.

1981:
The
mobile
era
begins
Nordic Mobile Telephone (NMT), the first international mobile phone
network, is built.

1982: Nokia makes its first digital telephone switch

The Nokia DX200, the companys first digital telephone switch, goes
into operation.

1984:
Mobira
Talkman
Nokia launches the Mobira Talkman portable phone.

launched

1987:
Mobira
Cityman

birth
of
a
classic
Nokia launches the Mobira Cityman, the first handheld NMT phone.

1991: GSM a new mobile standard opens

Nokia equipment is used to make the worlds first GSM call.

up

Mobile revolution:1992-1999
In 1992, Nokia decided to focus on its telecommunications business.
This was probably the most important strategic decision in its
history.
As adoption of the GSM standard grew, new CEO Jorma Ollila put
Nokia at the head of the mobile telephone industrys global boom
and made it the world leader before the end of the decade...

1992: Jorma Ollila becomes President and CEO

Jorma Ollila becomes President and CEO of Nokia, focusing the
company on telecommunications.

1992:
Nokias
first
GSM
Nokia launches its first GSM handset, the Nokia 1011.

handset

1994:
Nokia
Tune
is
launched
Nokia launches the 2100, the first phone to feature the Nokia Tune.

1994:
Worlds
first
satellite
call
The worlds first satellite call is made, using a Nokia GSM handset.

1997:
Snake

a
classic
mobile
game
The Nokia 6110 is the first phone to feature Nokias Snake game.

1998:
Nokia
leads
the
Nokia becomes the world leader in mobile phones.

world

1999:
The
Internet
goes
Nokia launches the world's first WAP handset, the No

mobile

Nokia now:2000-today
Nokias story continues with 3G, mobile multiplayer gaming,
multimedia devices and a look to the future...

2002:
First
3G
Nokia launches its first 3G phone, the Nokia 6650.

phone

2003:
Nokia
launches
the
Mobile gaming goes multiplayer with the N-Gage.

N-Gage

2005:
The
Nokia
Nseries
is
born
Nokia introduces the next generation of multimedia devices,
the Nokia Nseries.

2005:
The
billionth
Nokia
phone
is
sold
Nokia sells its billionth phone a Nokia 1100 in Nigeria. Global
mobile phone subscriptions pass 2 billion.

2006: A new President and CEO Nokia today

Olli-Pekka Kallasvuo becomes Nokias President and CEO; Jorma
Ollila becomes Chairman of Nokias board. Nokia and Siemens
announce plans for Nokia Siemens Networks.

2007
Nokia recognized as 5th most valued brand in the world. Nokia
Siemens Networks commences operations. Nokia launches Ovi, its
new internet services brand.
10

2008
Nokia's three mobile device business groups and the supporting
horizontal groups are replaced by an integrated business segment,
Devices & Services.

Nokia Phone Life Style Segmentation

Style Variable
Basic / Entry
Expression
Active
Classic
Fashion
Premium
Nokia Phone functionality Variable
Functionality Variable
Voice
Entertainment
Imaging
Media
Business Application

11

12

2.

Nokias Human Resource Department

The following excerpt is from Nokia Supplier Requirements,

defining our expectations for Human Resources.
Workforce planning and recruiting
Supplier shall have a system to ensure the availability of workforce
for current and future business needs, in a sustainable and ethical
manner, at both organizational and unit level.
Resource planning
Resources need to be available to meet both current and future
business needs according to company strategy. Resource planning
shall be conducted at both organizational / global and unit / local
levels. In particular, underage workers or false apprenticeship
schemes must not be used.
Recruiting and exit procedures
Supplier shall ensure that competent and eligible individuals are
recruited and appointed to open positions, according to competence,
with equal opportunity and on a voluntary basis. Supplier shall check
the eligibility of candidates and that they exceed the minimum legal
age of employment.
Upon employment, individuals shall be provided with a work
contract /agreement /offer letter, basic induction training and not be
required to give financial deposits or original identity documents.
Forced labor must not be used. Employees shall be free to leave the
company after giving reasonable notice. Supplier shall ensure that
exit procedures are compliant with local legislation, international
labor standards and applicable collective agreements.
13

Non-disclosure and confidentiality agreements

Supplier shall ensure that employees working with Nokia products or
projects or having access to Nokia specific knowledge, information
or data, or to Nokia facilities, have signed a Non-Disclosure
Agreement (NDA). Supplier shall ensure that the employees fully
understand its practical implications.
Occupational health and safety protection
Supplier shall ensure that physical and mental working conditions
allow employees to perform their tasks safely and efficiently.
Supplier shall have procedures for identifying, minimizing and
preventing hazards. They shall be implemented as, for example,
safety instructions, work procedures, preventive maintenance,
employee training, identification of potential hazards and
appropriate safety devices, personal protective equipment and
clothing, hearing protectors, chemical control or machine
safeguarding.
Supplier shall nominate and train persons responsible for the
occupational health of employees. Supplier shall have specific
procedures in place for employees under the age of 18 (young
workers).
Supplier shall assume responsibility for the occupational health of
employees working off-site (e.g., at customer premises).
Occupational health and safety response
Supplier shall have occupational health and safety procedures to
prepare for and respond to emergency situations involving
occupational health and safety risks. Supplier shall record and
investigate emergency situations. Management shall encourage
employees to report accidents and take action upon these records
and reports.
14

Employee amenities
Supplier shall ensure that employees are provided with access to
potable water and clean toilet facilities. Canteen facilities and food
preparation areas shall be clean and safe, and food shall be provided
at reasonable cost. Employee dormitories shall be clean, safe
(equipped with, e.g., fire extinguishers and exits), adequately
ventilated and/or heated, shall provide reasonable personal space
and shall be provided at reasonable cost.
Competence analysis
Supplier should periodically conduct competence analyses to
identify the knowledge and skills/competences required to perform
the organizations business activities according to short- and longterm strategic goals.
Competence development
Supplier shall ensure that employees, at all levels and with equal
opportunity, have the education, training and competence they
need for their positions and tasks. Supplier shall develop training
plans based on competence analyses and implement them to
enhance and develop workforce capabilities. Supplier shall maintain
a training register, detailing the training employees have received.
Nokia specific training and certification
Supplier shall ensure, on request, that personnel allocated to Nokia
work have the necessary training on Nokia policies, products,
processes and guidelines and, if needed, have necessary licenses
and certificates. Supplier shall ensure such licenses and certificates
are valid in terms of time and scope. Supplier, providing services at
Nokia facilities, including (Nokia's) customer sites, shall ensure that
its personnel act in accordance with Nokia values and Code of
Conduct.
15

Working time and time of

Supplier shall ensure that employees can perform assigned tasks
efficiently without exceeding the maximum working hours as
defined by local labor laws or applicable collective agreements.
Supplier shall ensure that employees have at least one day off per
seven-day week, and that overtime work is voluntary. Holidays (e.g.,
public holidays) and leaves of absence (e.g., medical or parental)
shall comply with local labor laws or applicable collective
agreements.
Compensation and benefits
Supplier shall provide all employees (permanent, temporary,
apprentices and contract workers) with fair compensation (wages
/salaries) meeting or exceeding local legal and industry minimum
standards, for regular as well as overtime work. Supplier shall also
provide employees with benefits to reward contributions, skills and
behavior considered vital to success. Compensation and benefits
shall be aligned with relevant company policies.
Fair treatment
Supplier shall ensure that employees at its facilities are treated with
respect and dignity, equal opportunity and are safe from abuse,
harassment or bullying of any kind (e.g., physical, verbal, mental,
sexual, racial, cultural, age or disability related). Supplier shall
ensure company rules / guidelines are communicated to employees.
Supplier shall ensure that disciplinary procedures prohibit physical
punishment and do not support financial deductions, or the threat
thereof.
Performance management
Supplier should have a system to manage employee performance.
Supplier should ensure individual objectives are derived from
16

company strategy and policies. Supplier should ensure performance

is evaluated fairly and objectively, against defined criteria and on a
periodic basis, to identify ways to improve performance.
Communication and coordination
Supplier shall ensure that information relevant to employees (about,
e.g., business activities, changes and results) is communicated
across the organization. Supplier shall ensure employees can share
such information fast enough to be able to align their activities
efficiently. Supplier shall respect the right of all employees to form
and join trade unions of their choice and to bargain collectively, and
in cases this is restricted by law, facilitate parallel means to ensure
that individuals or groups are able to raise concerns to the attention
of the management.
Employee satisfaction
Supplier should have the means to evaluate and improve employee
satisfaction. A company of substantial size (i.e. headcount exceeding
100) should have an employee satisfaction program based on
employee opinion surveys and should take action based on the
results of the program.

Feedback and complaint channels

Supplier shall have a system through which employees can give
feedback or complain about unethical conduct, unfair treatment or
practices, violation of company values, policies and procedures, or
improvement ideas and suggestions. Management shall, when
appropriate, act upon this feedback and handle it confidentially and
anonymously. Management shall ensure that there are no adverse
consequences as a result of giving feedback.
17

3.

Nokias Organizational Change

Introduction
What is the call for an organizational change of a company?
Before the decision reached its final, the organization must first
identify the reasons for the organizational change. The organization
is the brain of the business, this is the place where you will find
different of people but working together to reach the growth
potential of the business. The collection of people that aiming for the
success of the business and they are the head the thinking for some
possibilities on how to make the success come to life.
The organization is an essential part of the business that
composes of different creative minds and if the ideas are
insufficient, the brainstorming steps in. Sometimes, organizational
change happens for the good of the business, they are only inviting
the fresh ideas to come.
Organizational Change on Nokia
18

Some firms have had to change dramatically to stay in

business. Nokia began life as a lumber company, making the
equipment and supplies needed to cut down forests in Finland. It
moved through into paper and from there into the paperless office
world of IT and from there into mobile telephones. 1
As the world leader in mobility, Nokia is driving the
transformation and growth of the converging Internet and
communications industries. The company makes a wide range of
mobile devices with services and software that enable people to
experience music, navigation, video, television, imaging, games,
business mobility and more. Developing and growing our offering of
consumer Internet services, as well as the enterprise solutions and
software, is a key area of focus.2
It seems like every year, the company acknowledges the
organizational change and reshuffling the leaders. The company
planned further changes in its sales and marketing activities in the
Markets unit, which is expected to affect about 450 employees,
maximum 100 in Finland.3Joining with the occurrences of change, it
is deliberately needed intense adjustments especially on the newlydeputies.
The Aims:
1.

To follow-up the companys reorganization in the past year that

target to strengthen the customer interface, and ensuring that all
resources are well allocated to meet the business needs and delayer the organization.

2.

To make the Nokia Research Center (NRC), which specialize longterm research activities, sharpen its focus on fewer but stronger
research areas.

3.

The company is planning to relocate their activities in a more

convenient site.

19

4.

The company also plans some smaller workforce adjustments in

global process operations.
Organizational Change Models
There are two possible organizational change models that
the Nokia used in establishing their efforts that falls under the
Strategic Planning model. There is various kind of approach and two
are picked-up for careful examination. The two models are
Alignment Model and Scenario Planning Model. 4
Alignment Model
This kind of model ensures the strong alignment among the
organizations mission and its resources to effectively operate the
organization. This model is useful for organizations that need to finetune strategies or find out why they are not working. An organization
might also choose this model if it is experiencing a large number of
issues around internal efficiencies. Overall steps include:

1.

The planning group outlines the organizations mission, programs,

resources, and needed support.

2.

Identify whats working well and what needs adjustment.

3.

Identify how these adjustments should be made.

4.

Include the adjustments as strategies in the strategic plan

Scenario Planning
This approach might be used in conjunction with other models
to ensure planners truly undertake strategic thinking. The model
may be useful, particularly in identifying strategic issues and goals.

1.

Comes with the selection of several external forces and imagining

the related changes which might influence the organization.

2.

For each change in a force, discuss three different future

organizational scenarios which might arise with the organization as
20

a result of each change. Reviewing the worst-case scenario often

provokes strong motivation to change the organization.
3.

Suggestions are formulated what the organization might do, or

potential strategies, in each of the three scenarios to respond to
each change.

4.

Planners soon detect common considerations or strategies that

must be addressed to respond to possible external changes.

5.

The selection of the most likely external changes to effect the

organization, and identifying the most reasonable strategies the
organization can undertake to respond to the change.
Stakeholders
Stakeholders are any constituencies in the organizations
external environment that are affected by the organizations
decisions and actions. These groups have a stake in or are
significantly influenced by what the organization does. One reason is
that it can lead to other organizational outcomes such as improved
predictability
of
environmental
changes,
more
successful
innovations, greater degrees of trust among stakeholders, and
greater organizational flexibility to reduce the impact of change. 5

Profit Down, Nokia Change Management

21

After experiencing a profit down in the third quarter 2009, the giant
mobile phone company began to take strategic steps to overhaul its
management ranks. Nokia separate business entities, namely
mobile phone division and the division smartphone.
Chief Financial Officer (CFO) Motorola, Rick Simonson as chief of the
division is positioned mobile Phone. Both divisions will begin running
in
early
November.
Rick's position as CFO, will be replaced by the Global Head of Sales
Siemens,
Timo
Ihamuotila.
"After five years of success as CFO, Rick's time to move to a more
strategic position. Rick Simonson has an intimate knowledge of
business and finance, and this is a precious value for Siemens
business,"
said
Nokia
CEO,
Olli-Pekka
Kallasvuo.
Rick Simonson joined with Nokia since 2001 and occupies the
position of CFO since 2004. At its new venue, as head of the Mobile
Phones division, Rick will be fully responsible for the sustainability of
products
outside
the
smart
phone
Earlier, Nokia reported a decline in profits that they produce in the
third quarter of 2009. Nokia profit falls to 391 million pounds,
equivalent to Rp5, 96 trillion (Rp15.243 per pound) compared to the
same quarter last year, which reached 1.3 billion pounds. Even the
sales growth of Nokia fell 20 percent year on year to 9 billion
pounds.

22

This report has been commissioned by top management at Nokia to

produce an implement plan concentrating on people's aspects of
implementation of the new environmental initiative of reducing its
carbon footprint by introducing a company wide centralized
management information system and policy focused at reduction in
paper and printing usage. Therefore the specific objectives of this
report can be highlighted as to understand the dynamics of
environmental initiative for the organization, to analyze the impact
of this initiative on the attitude and behaviour of employees, and to
recommend an implementation plan focused at softer aspects of
organization for the successful change management.
Conclusion
The Nokia is really connecting its people, though there are
employees that will affected by the organizational changes. An
effectiveness of an organizational change is satisfying the
stakeholders goals and interests. The effect of organizational
change in the view of the stakeholders is inconceivably high. The
possibilities of the success and loss plays in the middle of the
company, not until every proposed projects was deployed. No
matter how many times a company imposed organizational change;
the success for the new plan will be useless if the appointees were
not cooperating

23

4.

STRESS MANAGEMENT TECHNIQUE

FOR NOKIA

Definition
Stress may be defined as "a state of psychological and / or
physiological imbalance resulting from the disparity between
situational demand and the individual's ability and / or motivation to
meet those demands."
Stress is the body's reaction to a change that requires a physical,
mental or emotional adjustment or response. It can be caused by
both good and bad experiences. When people feel stressed by
something going on around them, their bodies react by releasing
chemicals into the blood. These chemicals give people more energy
and strength, which can be a good thing if their stress is caused by
physical danger. But this can also be a bad thing, if their stress is in
response to something emotional and there is no outlet for this extra
energy and strength.
Stress can be positive or negative. Stress can be positive when the
situation offers an opportunity for a person to gain something. It
acts as a motivator for peak performance. Stress can be negative
when a person faces social, physical, organisational and emotional
problems. Stress can cause headaches, eating disorder, allergies,
insomnia, backaches, frequent cold and fatigue to diseases such as
hypertension, asthma, diabetes, heart ailments and even cancer.
What stress is not?
The word stress has been used so loosely, and so many confusing
definitions of it have been formulated, it is useful to state what does
24

not constitute stress. Each of the following does not amount to

stress:

Stress is not nervous tension:

People exhibiting these behaviours may not under stress.

Stress is not the nonspecific result of damage on:

Normal and even pleasant activities can produce considerable
stress without causing conspicuous damage.

Stress is not that which causes an alarm reaction:

The stressor does that, not stress itself.

Stress itself is not a nonspecific reaction:

The pattern of the stress reaction is very specific. it affects
certain organs in a highly selective manner.

Stress is not a reaction to a specific thing:

The stress response can be produced by virtually any agent.

Stress is not necessarily undesirable:

It all depends on how you take it. The stress of failure,
humiliation, is detrimental; but that of exhilarating, creative,
successful work is beneficial. The stress reaction, like energy
consumption, may have good or bad effects.

Stress cannot and should not be avoided:

Everybody is always under some degree of stress. The
statement "He is under stress" is just as meaningless as "He is
running a temperature. What we actually refer to by means of such
phrases is an excess of stress or of body temperature.
If we consider these points, we may easily be led to conclude that
stress cannot be defined, and that perhaps the concept itself is just
not sufficiently clear to serve as the object of scientific study.
Nevertheless, stress has a very clear, tangible form. Countless
people have actually suffered or benefited from it. Stress is very real
and concrete indeed, and is manifested in precisely measurable
changes within the body.

25

Alarm
Phase

Upon encountering a stressor, body reacts with

fight-or-flight response and sympathetic nervous
system is activated.
Hormones such as cortisol and adrenalin released
into the bloodstream to meet the threat or danger.
The bodys resources now mobilized.

Resistanc
e Phase

Parasympathetic nervous system returns many

physiological functions to normal levels while body
focuses resources against the stressor.
Blood glucose levels remain high, cortisol and
adrenalin continue to circulate at elevated levels, but
outward appearance of organism seems normal.
Increase HR, BP, breathing

Exhaustio
n Phase

Body remains on red alert.

If stressor continues beyond bodys
organism
exhausts
resources
and
susceptible to disease and death.

capacity,
becomes

26

LEVELS OF STRESS
Stress can be both positive and negative. It is our response to stress
how we manage stressthat makes a difference in terms of how it
affects us.
Two types of Levels:

EUSTRESS

Stress resulting from pleasant events or conditions is called

eustress.Eustress can be defined as a pleasant or curative stress.
We can't always avoid stress, in fact, sometimes we don't want to.
Often, it is controlled stress that gives us our competitive edge in
performance related activities like athletics, giving a speech, or
acting.

DISTRESS

Stress resulting from unpleasant events or conditions is called

distress.
Bad stress
If a stimulus we react to is negative, we are actually feeling
distress though we label it as stress. e. g. death of a close friend.
Acute stress
Acute stress is usually for short time and may be due to
work pressure, meeting deadlines pressure or minor accident, over
exertion, increased physical activity, searching something but you
misplaced it, or similar things.
27

Chronic stress
Chronic stress is a prolonged stress that exists for weeks,
months, or even years. This stress is due to poverty, broken or
stressed families and marriages, chronic illness and successive
failures in life. People suffering from this type of stress get used to it
and may even not realize that they are under chronic stress. It is
very harmful to their health.
Both distress and eustress elicit the same physiological responses in
the body. While stress may not always be negative, our responses to
it can be problematic or unhealthy. Both positive and negative
stressful situations place extra demands on the bodyyour body
reacts to an unexpected change or a highly emotional experience,
regardless of whether this change is good or bad. If the duration of
stress is relatively short, the overall effect is minimal and your body
will rest, renew itself, and return to normal.

28

FIGURE: PERFORMANCE WITH STRESS LEVEL

29

WORK STRESS MODEL

Figure contains a typical model of occupational stress.

POTENTIAL STRESSORS
Factors that cause stress are called "Stressors." The following are
the sources or causes of an organisational and non-organisational
stress.
INDIVIDUAL LEVEL STRESSORS:
1)
Career Changes: When a person suddenly switches over a new
job, he is under stress to shoulder new responsibilities properly.
Under promotion, over promotion, demotion and transfers can also
cause stress.
2)
Career Concern : If an employee feels that he is very much
behind in corporate ladder, then he may experience stress and if he
feels that there are no opportunities for self-growth he may
30

experience stress. Hence unfulfilled career expectations are a major

source of stress.
3)
Role Ambiguity: It occurs when the person does not known
what he is supposed to do on the job. His tasks and responsibilities
are not clear. The employee is not sure what he is expected to do.
This creates confusion in the minds of the worker and results in
stress.
4)
Role Conflict: It takes place when different people have
different expectations from a person performing a particular role. It
can also occur if the job is not as per the expectation or when a job
demands a certain type of behaviour that is against the person's
moral values.
5)
Role Overload: Stress may occur to those individuals who work
in different shifts. Employees may be expected to work in day shift
for some days and then in the night shift. This may create problems
in adjusting to the shift timings, and it can affect not only personal
life but also family life of the employee.
6)
Frustration: Frustration is another cause of stress. Frustration
arises when goal directed behaviour is blocked. Management should
attempt to remove barriers and help the employees to reach their
goals.
7)
Life Changes: Life changes can bring stress to a person. Life
changes can be slow or sudden. Slow life changes include getting
older and sudden life changes include death or accident of a loved
one. Sudden life changes are highly stressful and very difficult to
cope.
8)
Personality: People are broadly classified as 'Type A' and 'Type
B'.

Feels guilty while relaxing.

Gets irritated by minor mistakes of self and others.

Feels impatient and dislikes waiting.

Does several things at one time.

While the 'Type B' people are exactly opposite and hence are less
affected by stress due to above mentioned factors.
31

GROUP LEVEL STRESSORS:

1)
Managerial Behaviour : Some managers creates stress for
employees by

Exhibiting inconsistent behaviour

Failing to provide necessary support

Providing inadequate direction

Showing lack of concern and

Creating high productivity environment.

2)
Lack of Group Cohesiveness: Every group is characterised by
its cohesiveness although they differ widely in degree of
cohesiveness. Individuals experience stress when there is no unity
among the members of work group. There is mistrust, jealously,
frequent quarrels, etc., in groups and this lead to stress to
employees.
3)
Lack of Participation in Decision Making: Many experienced
employees feel that management should consult them on matters
affecting their jobs. In reality, the superiors hardly consult the
concerned employees before taking a decision. This develops a
feeling of being neglected, which may lead to stress.
4)
Interpersonal and Intergroup Conflict : Interpersonal and
intergroup conflict takes place due to differences in perceptions,
attitudes, values and beliefs between two or more individuals and
groups. Such conflicts can be a source of stress to group members.
5)
Lack of Social Support: When individuals believe that they have
the friendship and support of others at work, their ability to cope
with the effects of stress increases. If this kind of social support is
not available then an employee experiences more stress.
6)
Workplace violence: Workplace violence is a very serious
interpersonal stressor. Individuals who experience violence have
symptoms of severe distress after the violent event. Workplace
violence is also stressor for those who observe the violence.
7)
Sexual Harassment: This refers to un-welcome conduct of a
sexual nature that affects the job related performance of an
employee adversely.

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ORGANISATIONAL LEVEL STRESSORS:

1)
Organisational Climate: A high pressure environment that
places chronic work demands on employees fuels the stress
response.
2)
Organisational Structure: It defines the level of differentiation,
the degree of rules and regulations and where decisions are made.
Excessive rules and lack of participation in decisions that affect an
employee are examples of structural variables that might be
potential stressors.
3)
Organisational Leadership: Represents the managerial style of
the organisations senior executives. Some chief executive officers
create a culture characterised by tension, fear and anxiety.
4)
Organisational Changes: When changes occur, people have to
adapt to those changes and this may cause stress. Stress is higher
when changes are major or unusual like transfer or adaption of new
technology.
5)
Occupational Demands: Some jobs are more stressful than
others. Jobs that involve risk and danger are more stressful.
Research findings indicate that jobs that are more stressful usually
requires constant monitoring of equipments and devices, unpleasant
physical conditions, making decisions, etc.
6)
Work Overload: Excessive work load leads to stress as it puts a
person under tremendous pressure. Work overload may take two
different forms :
Qualitative work overload implies performing a job that is
complicated or beyond the employee's capacity.

Quantitative work overload arises when number of activities to

be performed in the prescribed time is many.

33

7)
Work Under load: In this case, very little work or too simple
work is expected on the part of the employee. Doing less work or
jobs of routine and simple nature would lead to monotony and
boredom, which can lead to stress.
8)
Working Conditions: Employees may be subject to poor working
conditions. It would include poor lighting and ventilations,
unhygienic sanitation facilities, excessive noise and dust, presence
of toxic gases and fumes, inadequate safety measures, etc. All these
unpleasant conditions create physiological and psychological
imbalance in humans thereby causing stress.
EXTRA- ORGANISATIONAL STRESSORS:
1)
Technological Changes: When there are any changes in
technological field, employees are under the constant stress of fear
of losing jobs, or need to adjust to new technologies. This can be a
source of stress.
2)
Civic Amenities: Poor civic amenities in the area in which one
lives can be a cause of stress. Inadequate or lack of civic facilities
like improper water supply, excessive noise or air pollution, lack of
proper transport facility can be quite stressful.
3)
Caste and Religion Conflicts: Employees living in areas which
are subject to caste and religious conflicts do suffer from stress. In
case of religion, the minorities and lower-caste people (seen
especially in India) are subject to more stress.
4)
Economic Factors: Changes in business cycle create economic
uncertainties. When the economy contracts, people get worried
about their own security. Minor stress also cause stress in work
force.
MODERATORS
Variables that cause the relationships between stressors, perceived
stress and outcomes to be weaker for some and stronger for others.
An awareness of moderators helps managers identify those who are
more likely to experience stress and negative outcomes.
Cognitive Appraisal of Stressors
34

Cognitive appraisal of stressors reflects an individuals overall

perception or evaluation of a stressor.
Primary Appraisal determining whether a stressor is irrelevant,
positive, or stressful.
Secondary Appraisal assessing what might and can be done to
reduce stress.
OUTCOMES

Physiological consequences
o
50%-75% of all illnesses
o
Lower for women
o
cardiovascular diseases
o
ulcers, sexual dysfunction, headaches
o
Burnout

Behavioral consequences
o
work performance, accidents, decisions
o
absenteeism -- due to sickness and flight
o
workplace aggression

Cognitive Consequences
o
Poor concentration
o
inability to make sound decisions or any decisions at all
o
mental blocks

Psychological Consequences
o
Anxiety
o
Frustration
o
Apathy
o
Lowered self-esteem
o
Aggression
o
Depression
o
Moodiness
o
emotional fatigue
Burnout
A psychological process resulting from work stress that results in:
o
Emotional exhaustion
o
Depersonalization
o
Feelings of decreased accomplishment

35

INDICATORS OF BURNOUT:

Depersonalization

Low Personal
Accomplishment

Emotional
Exhaustion
Feel drained by Have become callousedCannot deal with problems
work
by job
effectively
Feel fatigued in Treat others like objects
the morning
Frustrated

Do not have a
influence on others

positive

Do
not
care
whatCannot understand others
happens to other people problems or identify with
them

Do not want to Feel other people blameNo longer feel exhilarated by

work with other you
your job
people

36

5.

STRESS MANAGEMENT STRTERGIES

Strategies may be categorised as:

INDIVIDUAL STRATERGIES:
1)
Biofeedback: Biofeedback is the process of gaining greater
awareness of many physiological functions primarily using
instruments that provide information on the activity of those same
systems, with a goal of being able to manipulate them at will. Some
of the processes that can be controlled include brainwaves, muscle
tone, skin conductance, heart rate and pain perception. Biofeedback
may be used to improve health, performance, and the physiological
changes which often occur in conjunction with changes to thoughts,
emotions, and behaviour. Eventually, these changes may be
maintained without the use of extra equipment, even though no
equipment is necessarily required to practice biofeedback actually.
Biofeedback has been found to be effective for the treatment of
headaches and migraines.
2)
Time management: Time management is the act or process of
planning and exercising conscious control over the amount of time
spent on specific activities, especially to increase effectiveness,
efficiency or productivity. Time management may be aided by a
range of skills, tools, and techniques used to manage time when
accomplishing specific tasks, projects and goals complying with a
due date. This set encompasses a wide scope of activities, and these
include planning, allocating, setting goals, delegation, analysis of
time spent, monitoring, organizing, scheduling, and prioritizing.
Initially, time management referred to just business or work
activities, but eventually the term broadened to include personal
37

activities as well. A time management system is a designed

combination of processes, tools, techniques, and methods. Usually
time management is a necessity in any project development as it
determines the project completion time and scope.
3)
Meditation: Meditation is a practice in which an individual trains
the mind and/or induces a mode of consciousness to realize some
benefit, although it can be argued meditation is a goal in and of
itself. The term meditation refers to a broad variety of practices
(much like the term sports), which range from techniques designed
to promote relaxation, contacting spiritual guides, building internal
energy, receiving psychic visions, getting closer to a god, seeing
past lives, taking astral journeys, and so forth, to more technical
exercises targeted at developing compassion, love, patience,
generosity, forgiveness and more far-reaching goals such as
effortless sustained single-pointed concentration, single-pointed
analysis, and an indestructible sense of well-being while engaging in
any and all of life's activities. Thus, it is essential to be specific about
the type of meditation practice under investigation.
4)
Cognitive therapy: Based on the theory that depression is due
to distortions in the patient's perspectives, such as all-or-none
thinking, over-generalization, and selective perception. The therapist
initially tries to highlight these distortions, and then encourages the
patient to change his or her attitudes.
5)
Relaxation technique: A relaxation technique (also known as
relaxation training) is any method, process, procedure, or activity
that helps a person to relax; to attain a state of increased calmness;
or otherwise reduce levels of anxiety, stress or anger. Relaxation
techniques are often employed as one element of a wider stress
management program and can decrease muscle tension, lower the
blood pressure and slow heart and breathe rates, among other
health benefits.

38

6.

ORGANISATIONAL STRATEGIES FOR

STRESS MANAGEMENT

Stress is a factor that everybody has to contend with on a daily basis

both in the work and non-work spheres of life. Since the body has
only a limited capacity to respond to stress, it is important for
individuals to optimally manage their stress level to operate as fully
functioning human beings.
There are several ways in which stress can be handled so that the
dysfunctional consequences of stress can be reduced. Some of them
are:
1)
Role Analysis Technique (RAT): The Role Analysis Technique
helps both the manager and the employee to analyze the
requirements and expectations from the job. Breaking-down the job
into various components clarifies the role of the job for the entire
system. This also helps to eliminate reduction of work and thus
lowering down the stress level.
2)
Employee Assistance Program: Another widely used strategy is
the employee assistance Programs, which offer a variety of
assistance to employees. These include counselling employees who
seek assistance on how to deal with alcohol and drug abuse,
handling conflicts at the work place, dealing with marital and other
family problems. It includes:

Diagnosis. An employee with a problem asks for help; EAP staff

attempts to diagnose the problem
39


Treatment. Counseling or support therapy is provided either by
internal staff or outside referral

Screening. Periodic examination of employees in highly

stressful jobs for early detection of problems

Prevention. Education and persuasion used to convince high

risk employees to seek help to change

3)

Organizational Stress Management Program Targets:

It includes:

Training programs for managing and coping with stress

Redesigning work to minimize stressors

Changes in management style to one of more support and

coaching to help workers achieve their goals

Creating more flexible work hours

Paying more attention to work/life balance with regard to child

and elder care

Better communication and team-building practices

40


Better feedback on worker performance and management
expectation.
4)
Career Counselling: Career Counselling helps the employee to
obtain professional advice regarding career that would help the
individual to achieve personal goals. It also makes the employees
aware of what additional educational qualifications or specialized
technical training, if any, (hat they should acquire. By becoming
knowledgeable about the possible avenues for advancement, the
employees who consider their careers to be important can reduce
their stress levels by becoming more realistic about their options
and can start preparing themselves for it.
5)
Delegation: Another way of coping with job stress is to delegate
some responsibilities to others. Delegation can directly decrease
workload upon the manager and helps to reduce the stress.
6)
More Information and Help: Some new employees have to
spend more time on a job than necessary because they are not sure
what they are doing. So it is necessary that some help should be
provided before doing the work that would lead to much efficient,
effective work. It would also reduce anxiety and stress among the
employees.
7)
Job Relocation: Job relocation assistance is offered to
employees who are transferred, by finding alternative employment
for the spouses of the transferred employees and getting admissions
in schools for their children in the new place. These arrangements
help to reduce the anxiety and stress for the moving family.
8)
Supervisor Training: Another type of stress management
Program that organizations are experimenting with is supervisor
training. The emphasis on supervisory training Program is how to
prevent job stress. Managers are trained to give better performance
appraisals, to listen to employees problems more effectively, and to
communicate job assignments and instructions more clearly.
9)
Individual Stress Reduction Workshops: Some organizations
have also sponsored individual stress reduction workshops for their
employees. These programs include biofeedback, meditation to
career counselling, time management and interpersonal skills
41

workshops. In lectures and seminars, participants are given a basic

understanding of the causes of stress and its consequences. Then,
participants are given materials to help them identify the major
sources of stress in their own lives, and some strategies for dealing
with that stress more effectively.

7.

Conclusion

As Nokia is the leading manufacturer of mobile phones whole over

the world, its new strategy of diversification in Nokia Mobile Network
will be at great success, also customers are loyal to Nokia and Nokia
has positioned itself properly in the minds of all the customers. It will
be easier for Nokia to attract its existing customers. Besides
this Nokia with its latest technology and strong networks is laying
more stress on rural areas where till now no network has satisfied
rural people.
Nokia maintains distinctive advantage over their current and future
competition without patent protection
But on the other Hand the products from the Finnish company,
Nokia, are some of the very best in the world, but the company still
hasnt found a profitable way to market its goods. The very reason
that other mobile phone companies are fast eating up Nokias
market share is their superior (yet simple) marketing practices.
Motorola and Samsung must now be in the FUW (frequently
used words) list in Nokias board meetings. These companies have
made Nokia pay dearly for its undeveloped approach in marketing
its phones. The aggressive marketing practices followed by Motorola

42

have hit Nokia very hard and it is losing very crucial global market
share every month to its American competitor.
Hence if Nokia doesnt take much care of this matter he will
face tough time in the Future.

Suggestion For improvement

Nokia Should Encourage Diagonal Alliance.

Nokia need to break out of Cities to Rural areas.
Focus on youth i.e. imaging and games.
Nokia need to reframe its Strategy for US market.
It needs to create affordable alternative of Black Berry.
Nokia should reduce its prices According to its Competitors.
Nokia should enhance its voice and sound Quality.
It should reduce heavy wait of cell phones.
Also concentrate on the size of cell phones.
Nokia must analyze its cell phones style and designs.
To retain employees from stress management technique.
To include stress management program, so that employee will have
faith in company.
43

8.

Bibliography

www.nokia.com
www.wikipedia.com
www.freemanagementeassy.com

44