(20) Control of mind and restraint on senses and passion.
A manager with these values has a balanced and sacred state of mind. Such a person can mobilize his and other’s energy and help the workers to accomplish their task. By developing these values in yourself, you can help others to develop these values.
Q.8. What are the main features of new economy? Discuss the relevance of value based management in global change.
Ans. Features of New Economy: In India the new economic policy was initiated in 1991 as ‘Economic Reforms’. The main features of this emerging new economy are as follows:
(1) Liberalization: In the new economy, there are more liberal policies. It means removing Jl necessary controls and restrictions lIke permits, licences, quotas etc., imposed by the government. Earlier it was required to establish majority of the industries but now the licence requirement has been reduced. These controls and restrictions resulted in the following:
(a) Consumption delays.
(c) High cost economy.
Liberalization resulted in industrial sector reforms, tax reforms, foreign exchange reforms, trade policy reforms, all of which resulted in boosting of the Indian economy.
(2) Privatization: It means the transfer of a function, activity of organisation from public to private sector. It indicates the beginning of a new culture in the society in which marketization, competition and efficiency become the guiding principles in economic decision making.
(3) Globalization it refers to entrance of private/govt. players into foreign markets or independence among countries with regard to capital, goods, technology share etc. No restriction on the extension of business outside the geographical boundaries of the country.
(4) Participative Style of Management: This is followed by the organisations in which all the employees are invited in the meeting for taking suggestions in order to improve the productivity of organisation.
(5) Competition: Earlier, there used to be monopoly but now competition has become intense due to privatization and globalization. Now perfect competition exists in the market. There are lots of brands available in the market in every product category.
(6) Decentralization Nowadays, to make the implementation process faster, authority of decision making is transferred to subordinates. They know the problem and solution well. Responsibility is also transferred to subordinates.
(7) Conservation of Natural Resources : In today’s scenario, companies are using natural resources without thinking of future requirements. The companies are not socially responsible towards natural resources. The concept of sustainable development should be followed and optimum utilization of resources is the need of the day.
Q.9. Explain the process involved in decision making. Discuss the holistic approach for managers in decision making.
Ans. Decision Processes Decision making is an indispensable component of management process and a manager’s life is filled with making decisions.
Decision-making is the process of choosing a course of action from amongst the available alternatives to achieve a desired goal. It consists of activities a manager performs to come to a conclusion. Managers take decision making as their control job because they constantly choose what to be done, which to do, when to do, where to do, and how to do. According to William Moore, management means decision making.