EMERGING HORIZONS OFMANAGEMENT IN

CHANGING ENVIRONMENT

PRESENTED BY:-

SANJEEV KUMAR PATEL

&

HEMANT KUMAR

MONIRBA (UNIVERSITY OF

ALLAHABAD)

49TH BATCH

EMERGING - JUST COMING INTO PROMINANCE

IMPORTANT AREAS CREATING CHALLENGES

Changing Technology.

Changing Security Threats.

Increased emphasis on Organizational and Managerial Ethics.

Increased Competitiveness.

Changing Economical environment.

Social environment.

Changing International environment.

The Manager’s Core Work in the New Economy.

Qualities of future Managers.

Issues involved in Future environment.

CHANGING TECHNOLOGY

a)Virtual Workplace.

b)More Mobile Workforce.

c)Flexible Work Arrangements.

d)Empowered Employees.

e)Work life-Personal life balance.

Stephen P. Robbins, Mary Coulter, Neharika Vohra

* VIRTUAL WORKPLACE

A virtual workplace is a workplace

that is not located in any one

physical place. It is usually

network of several workplaces

technologically connected by the

internet without regard to

geographical boundaries.

• Having no geographical area.

• No centralised office building.

• Are more flexible.

• Able to respond rapidly to

market needs.

MORE MOBILE WORKFORCE

Persons who are not directly connected with organization but

according to need of Organization they render there services. And

organization contacts with such persons when it needs. And they

are in independent and also connected with many other

organizations .

FLEXIBLE WORK ARRANGEMENTS

Work practices explained by employer in employment policies and contracts that

allows the employees a certain degree of freedom in deciding how the work will

be done and how they will coordinate their schedules with those of other

employees . The employer sets certain limits such as a minimum and maximum

number of working hours everyday and the core time.

WHEN-:

Flexible working hour

Part time work

WHERE

Working from office

Working remotely

HOW

Job sharing

Phased retirement

EMPLOYEES EMPOWEREMENT

Employees empowerment is a management

practice of sharing information, rewards, and

powers with employees so that they can take

initiative and make decisions to solve problems and

improve service and performance.

Empowerment is based on:-

• Developing skills.

• Providing resources.

• Giving authority.

• Giving opportunity.

• Motivation .

• Holding them accountable for outcomes of their actions.

WORK LIFE - PERSONAL LIFE BALANCE

Many peoples are putting extra hours or using

their smart phones to be on call when they are

not physically at work and it becomes

challenging to balance

Personal life with work life for the employees .

which affects the over all performance of the

employees and ultimately of Organization.

CHANGING SECURITY THREATS

a)Risk Management

b)Uncertainty over future energy sources/prices

c)Discrimination concern

d)Globalization concern

• A risk is a potential problem – it might happen and it might

not

• Conceptual definition of risk

– Risk concerns future happenings

– Risk involves change in mind, opinion, actions, places,

etc.

– Risk involves choice and the uncertainty that choice

entails

• Two characteristics of risk

– Uncertainty – the risk may or may not happen, that is,

there are no 100% risks (those, instead, are called

limitations)

– Loss – the risk becomes a reality and unwanted

consequences or losses occur

*Definition of Risk

In risk management, a prioritization process is followed

whereby the risks with the greatest loss and the greatest

probability of occurring are handled first, and risks with

lower probability of occurrence and lower loss are

handled in descending order.

*

STEPS FOR RISK MANAGEMENT

1) Identify possible risks; recognize what can go wrong

2) Analyze each risk to estimate the probability that it

will occur and the impact (i.e., damage) that it will do

if it does occur

3) Rank the risks by probability and impact

- Impact may be negligible, marginal, critical, and

catastrophic

4) Develop a contingency plan to manage those risks

having high probability and high impact

* In terms of energy sources fossil fuels consist of

93%, water for 1% and labour for 6%. It is the need of

the hour to have energy security. The term is used

in regard with pilling the crude oil, finding

alternative to the fossil fuels. With the growth of

business the management has to find newer means

to satisfy it’s need of energy. Conventional and non-

conventional resources both should be used for

generating energy.

*UNCERTAINTY OVER FUTURE

ENERGY RESOURCES/PRICES

*DISCRIMINATION CONCERN

INCREASED EMPHASIS ON ORGANIZONAL AND

MANAGERIAL ETHICS

Organizational Ethic is an ethical treatment of

employees , stockholders, owners and the public by the

company.

from management perspective , behaving ethically is an

integral part of long term career success.

Managerial Ethic is the code of morale of managerial

conduct that raises question about the goodness and

badness of managerial actions.

A. GLOBALISATION

B.CUSTOMER SERVICE

C.INNOVATION

*

*GLOBALISATION

*It is to provide service to the consumer before, during and after a purchase. Customer service is important because customer loyalty develops as customers feel a connection with A company.

*CUSTOMER SERVICE

It is a method by which an idea gets converted into any economical form which satisfies some need. It can be of any three forms-:1. Pioneering Innovation:(brand new product) rarest form

2. Best Practice Innovation:(other-industry best practices)most common

3. Technological Innovation:(existing form of technology is introduced into or

. . used in a new way)

Advantages-:>Competitive advantage>Speed-up of process>Increasing brand value>Increasing the market

*INNOVATION

CHANGES IN ECONOMIC ENVIRONMENT

Government policy of liberalization of industrial

licensing.

FDI.

Growth of multinational corporations.

GOVERNMENT POLICY OF LIBERALIZATION OF

INDUSTRIAL LICENCING

LIBERALIZATION means fewer government regulations

and restrictions in economy in exchange for greater

participation of private entities.

LIBERAIZATION Policy includes:-

a) Partial or full privatization of government institutions

and assets.

b) Greater labour market flexibility.

c) Lower tax rates for business.

d) Less restriction on both domestic and foreign capital.

e) Open markets.

ADVANTAGES:-

Removal of controls.

Positive growth.

lower inflation.

Lower unemployment.

Higher GDP.

Higher overall standard of living

CONTINUE……..

FDIWHAT IS FDI ? IMF defines FDI as “when one individual or business

owns 10% or more of a foreign company’s capital. Every

financial transaction afterwards is considered by the IMF as

an additional direct investment. If an investor owns less than

10% it is considered nothing more than an addition to his/her

stock portfolio.

FDI is a direct investment into production or business in a

country by an individual or a company in another country

either by buying a company in the target country or by

expanding operations of an existing business in that

country.

SECTORS PREVIOUS CURRENT

TELECOM 74% 100%

CIVIL AVIATION 49% 49%

SINGLE BRAND RETAIL 49% 100%

INSURANCE 26% 49%

PETROLIUM 49% 49%

COURIER SERVICES 100% 100%

DEFENCE PRODUCTION 26% 26%

IMPORTANT SECTORS AND PERCENTAGE OF FDI ALLOWED

GROWTH OF MULTINATIONAL CORPORATIONS

A multinational corporation is a corporation that is

registered in more than one country or that has

operation in more than one country . It is a large

corporation which both produces and sells goods

or services in various countries. It can also be

referred as INTERNATIONAL CORPORATIONS.

How MNCs affect local business:-

Employment.

Crowding out competition.

Working conditions.

Technology transfer.

Population explosion.

Educational level.

Leisure time.

Public opinion.

Reconciliation of conflicting demand of

social

group

SOCIAL ENVIRONMENT

CHANGING INTERNATIONAL

ENVIRONMENT

GATT.

WTO.

IMF.

WTO

FORMATION – 1 JANUARY 1995HEADQUARTER - GENEVA (Switzerland)

MEMBERSHIP - 159 COUNTRIES

OFFICIAL LANGUAGE - ENGLISH, FRENCH and

SPANISH

DIRECTOR GENERAL - ROBERTO AZEVEDO

It is an organization that intends to supervise and

liberalize international trade . It deals with regulation of

trade between participating countries. It provides a

framework for negotiating and formalizing trade

agreements and solving the disputes related to trade.

IMF

FORMATION - 1st MARCH 1947TYPE - INTERNATIONAL FINANCIAL

ORGANIZATION

HEAD QUARTER - WASHINGTON D.C. (US)

MEMBERSHIP - 29 Countries(Founding) 188 Countries

(to date)

OFFICIAL LANGUAGE – ENGLISH, FRENCH and SPANISH

MANAGING DIRECTOR – CHRISTINE LAGARDE

IMF describes itself as an organization of working to foster global

monetary cooperation , secure financial stability, facilitate

international trade, promote high employment and sustainable

economic growth and reduce poverty around the world.

Various managerial skills should be possessed

by

managers at all levels

A Manager besides being a specialist in his area

of specialization, must also posses requisite

knowledge about other areas of management.

Manager’s vision should be clear, he must be

able to absorb future information, make and

implement the decisions based on this

information.

TERRORISM

Terrorism imposes a significant economic effect on

society and will not only lead to direct material

damage, but to long term effects on the local

economy.

Terror

Event

Primary

Impact

Secondary

Impact

Total

Economic

Impact

CYBER TERRORISM

Cyber terrorism is a number of devious

criminal practices designed to breach a

company’s computer security. The purpose of

electronic break and enter can be to steal the

financial information of the business or its

customers to destroy the service to the

company website or to install a virus that

monitors a company’s online activity in the

future.