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Management
Effective Executive  

August'08
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Managing Complexity in Globalization of Markets : General Motors' Way
Managing the Complexity of Innovation : Engaging Board
Transformational Leadership : Shakespeare's Prescription
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Managing Complexity in Globalization of Markets : General Motors' Way

-- Prof Prashant Salwan

The cases suited clearly prove that GM's success in emerging markets like India was due to management of global competitive forces by taking advantage of local strengths both in terms of manufacturing, R&D as well as market for global leverage. GM very successfully launched products in the Indian market which were nearing maturity cycle in developed markets by introducing them into Indian markets successfully

Article Article Price : Rs.50

Managing the Complexity of Innovation : Engaging Board

-- Dr. William B. Werther, Jr. and Dr. Jeffrey L Kerr

An increasingly turbulent environment suggests that the ability to innovate will grow in importance and complexity as innovations themselves become less durable. To overcome this paradox of innovation, boards will have to contend with a second conundrum, the paradox of innovative change, in which the organization's need for innovation is suppressed by those in the hierarchy who are threatened by it.

Article Article Price : Rs.50

Managing the Complex Merger Maze : Leadership Imperatives

-- Jacqueline Fendt

In the years to come, billions of dollars of economic value will again be ventured into mergers. M&A will continue to be a leading strategic action all over the world. Moreover, organizations from emerging markets will increasingly venture to merge—often with emotionally loaded flagships of the western industrialized world—in an effort to explore opportunities and counter potential menaces that an ever faster globalizing world presents.

Different Cultures : Different Expectations

-- Dr Rowley and Dr Wes Harry

Organizations and managers must be aware that their customers and clients as well as suppliers may have different expectations based on their own cultures. With the development of global lines of supply, logistics and customers in various countries, it becomes increasingly necessary to understand and meet the core expectations of other cultures. For example, US footwear companies learnt the costs of this when consumer boycotts and poor publicity at home resulted from operations in Southeast Asia.

The Relationship of Workaholism and Perfectionism with Work : Behaviors and Job Performance

-- Ronald J Burke, Richard Davis and Lisa Fiksenbaum

This article examines the role of workaholism components and perfectionism in understanding a variety of work outcomes. Data were collected from 220 females and 102 males working in a number of different occupations using an anonymously completed internet survey. Work outcomes included job satisfaction, hours worked, income, self-rated job performance and three aspects of work engagement. Hierarchical regression analyses were undertaken controlling for personal demographic and work situation factors. Both workaholism and perfectionism measures predicted job satisfaction, with workaholism predicting hours worked while perfectionism predicted self-rated job performance. Workaholism components were consistently related to measures of work engagement.

The Power of Causal Understanding : Five `Magic Steps'

-- Prof. Dr. Kai-Alexander Schlevogt

Discerning the true causes of events and behavior among the "fog of war" is a necessary condition for leadership success. However, many executives are not good at causal reasoning. For example, when judging others who failed, they tend to underestimate situational factors. Even though executives often lack a solid factual base for their explanations, they usually strongly believe in them and act with unwarranted confidence. As a consequence of erroneous inferences, they are prone to overlook powerful levers of change. There are five "magic steps" help improve an executive's causal reasoning, which will transform him into a "scientific leader". Through an iterative process of deduction and induction, he will achieve both analytical breadth and depth. The "Six P-Framework for effective causal reasoning" highlights the contrasts with the past, other projects and peers within power fields of enabling and constraining factors. Based on supporting and disconfirming evidence, leaders can ascribe observations to either personal or situational factors, or a combination of both. Among other things, the advice is useful for explaining events and behavior, leading yourself, evaluating the causal reasoning of others, and influencing them.

Transformational Leadership : Shakespeare's Prescription

-- GRK Murty

Transformational leaders - as Shakespeare has shown in his play, The Tempest - devote their energies towards moral ends and to ignite the followers' sense of higher purpose to achieve organizational goals on a sustainable basis.

Article Article Price : Rs.50

Lenovo is a good example of increasing business complexity due to both expanded scope (i.e., globalization strategy) and expanded scale (i.e., through merger and acquisition).

-- Prof. Arthur Yeung, Philips

Prof. Arthur Yeung, Philips is Philips Chair Professor of Human Resource Management , Director of Centre of Organization and People Excellence, and Associate Dean at China Europe International Business School (CEIBS), Shanghai, People's Republic of China.

A fundamental task of leadership is providing simplicity of thinking _ a clear story _ that effectively communicates the mission and fundamental strategic path of the business.

-- Prof. Michael Brimm

Professor Michael Brimm is Emeritus Professor of Organization and Management at INSEAD. He has long been active as a researcher and consultant in designing strategies for improving individual and organizational performance. His current research extends from studies of organizational change to a project that focuses upon leadership and innovation in achieving organizational excellence in outstanding French restaurants.

 

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Automated Teller Machines (ATMs): The Changing Face of Banking in India

Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.

The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario

If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.

Indian Scenario

The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.

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