Organizational Health – Concept, Dimensions, and Characteristics

Management Concepts

Organizational Health Approach – Building a Strong Workplace

Modern Management Concepts

Participative Management – Workers Participation in Management

Human Resource Management

Case Study on Entrepreneurship: Larry Page

Business Analysis

The Boundaryless Career: Modern Contemperory Perspective on Career

Human Resource Management

Business Combination Strategies

A combination strategy is the pursuit of two or more of the previous strategies simultaneously. For example, one business in the company may be pursuing growth while another in the same company is contracting. In the spring of 1989, for instance, Texas Air was rapidly expanding its Continental Airlines unit. But its Eastern Airlines operation was being consolidated. Eastern’s management was selling off routes and planes, cutting back the number of cities served, and making plans for operating a much smaller airline. A combination strategy simultaneously employs more than one of the other strategies. This often reflects different strategic approaches among subsystems. For example, an M-form conglomerate like General Electric might seek growth overall, but it may do so by pursuing growth in some divisions, stability in others, and retrenchment in still others. Combination strategies are common, especially for complex organizations operating in dynamic and highly competitive environments. Many,   Continue reading

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Motivating Employees with Stock Options

Employee stock options plan is a company wide incentives plan whereby the company contributes shares of its own stock or cash to be used to purchase such stock to a trust established to purchase shares of the firm’s stock for employees. The firm generally makes these contributions annually in proportion to total employee compensation, with a limit of 15% of compensation. The trust holds the stock in individual employee accounts, and distributes it to employees upon retirement, assuming the person has worked long enough to earn ownership of the stock. Many companies use employee stock options plans to retain and attract employees, the objective being to give employees an incentive to behave in ways that will boost the company’s stock price. By issuing employee stock options as compensation, organizations can preserve and generate cash flow. The cash flow comes when the organizations issues new shares and receives the exercise price Continue reading

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Administered Price Mechanism

The concept of Administered Price was first introduced by famous British Economist, John Maynard  Keynes for the prices charged by a monopolist. A monopolist can be a price maker and he consciously administered the price of his product irrespective of the cost of production. Competitive prices are determined by the interplay of forces of demand and supply in the market whereas administered prices according to Keynes were associated with monopolists’ decision regarding price fixation irrespective of the market forces of demand and supply. However, in India the meaning of Administered Price has been quite different. In India, Administered Prices refer to prices which are fixed and enforced by the Government. They acquire a statutory nature. They are the outcome of the price policy of the Government. The Government interferes in the price mechanism and fixes minimum and maximum prices of various commodities in the agricultural and non- agricultural sectors. Following Continue reading

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Exploratory Research – Explanation and Methods

Exploratory research is conducted to clarify ambiguous problems. Management may have discovered general problems, but research is needed to gain better understanding of the dimensions of the problems. Exploratory studies provide information to use in analyzing a situation, but uncovering conclusive evidence to determine a particular course of action is not the purpose of exploratory research. Usually, exploratory research is conducted with the expectation that subsequent research will be required to provide conclusive evi­dence, It is a serious mistake to rush into detailed surveys before less expen­sive and more readily available sources of information have been exhausted. In an organization considering a program to help employees with childcare needs, for example, exploratory research with a small number of employees who have children might determine that many of them have spouses who also work and that these employees have positive reactions to the possibility of an on-site child-care program. In such Continue reading

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Effects of Leadership and Organizational Climate on Innovation

Now more than ever, companies are putting more attention to innovation that make their products and services more competitive, thereby enable them to survive and flourish in the changeable and challenging global environment. Innovation is seen as the first attempt to carry out a new creative idea, and translate it into practice. However, it isn’t easy; it’s a difficult and complex task. There are two primary factors influencing the success of innovation: technical resources (people, equipment, knowledge, money, etc.) and the abilities in the organisation to manage these resources to encourage innovations. However, the latter is the precondition which can place high premiums on innovation. Organisation is a kind of breeding ground for generating creative idea and capturing new opportunities. An innovative organisation has several key components: appropriate structure, effective team working, external focus, leadership, key individual, creative climate and etc. All the factors are absolutely essential. All innovative organisation Continue reading

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Double Taxation Avoidance Agreement (DTAA)

A major portion of international capital flows entering the Indian economy is aided by taxation laws and systems among countries like the Double Taxation Avoidance Agreement. The phenomenal growth in international trade and commerce and increasing interaction among nations, citizens, residents and businesses of one country has extended their sphere of activity and business operations to other countries. A person earning any income has to pay tax in the country in which the income is earned (as Source Country) as well as in the country in which the person is resident. As such, the income is liable to be taxed in both the countries. To avoid this hardship to individuals and also with a view to ensure that national economic growth does not suffer, the Central government under Section 90 of the Income Tax Act has entered into Double Tax Avoidance Agreement (DTAA) with other countries. Definition of Double Taxation: Continue reading

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