CASE STUDY The president of the academy employment service has inaugurated a management by objective programme in order that

more accurate appraisals may be made of professional personnel. Frank bank, an employment interviewer, has for the past year establishment relations with small business college, a privately run school in the southern part of the state. Graduates about 25 people per month and bank had agreed to place as many of those who wanted placement in training related jobs between 15 and 20 people per month signed up for this service. When the president asked bank to prepare objectives for job, this seemed to be one of the easy places to do it. In as much as bank won now placing about 35 per cent of the applicants, the president asked if he thought he could raise this to 50 per cent. Bank assured him that he could. In reviewing banks accomplishments at the end of the six months period, it was concluded by the personal unit that bank was placing only 5 to 7 per cent of the graduates in training related jobs. Several lengthy and heated discussion took place recording just what was meant by training related. Bank considered any job to be training related, while the personal unit contended that the job content had to bear some relationship to the training acquired in school. Moreover, if the placed student quit before 90 days of work, the personal unit would not classify this as a successful placement. Continuous documentation of banks 5 to 7 per cent performance against 50 per cent objectives led to bankers serious consideration of early retirement. a) Is this objective a well stated one? Why or Why nor. b) If you were the president, how would you resolve the dispute between bank and the personal unit.

CASE STUDY In a pharma company manufacturing and marketing drugs and medicines. The research staff has developed a number of new products and formulations which are effective. But, at the same time it has to meet severe competition from stalwarts with foreign collaboration. Mr. Shah the vice president marketing has a very successful

pharma the marketing background. He has been with the company for past 4 years. Mr. Shah had made ambitions plans for capturing sizeable share of market in the Gujarat state. The company being medium size, Mr. Shah had kept his marketing department and the marketing team lean and trim. The field sales staff was given aggressive targets and were virtually pushed to reach the respective targets. The field staff worked to their best abilities to complete their respective targets. Mr. Shah had himself been working hard almost 11-12 hours a day. There was no formal appraisal and reward system in the company. During the last 5 years more than 60 medical representatives and the area supervisors had left the company due to unsatisfactory increments and promotions. Those who left the company were star workers. But, Mr. Shah did not care for this high turnover. He was very confident that he would be able to hire freshers and also select candidates who were not happy with their remuneration in their respective companies. Mr. Shah had never communicated to the field sales staff about their performance or reasons for not recognizing their outstanding performance in a few cases. There was on the whole a great dissatisfaction and good performers were leaving the company. QUESTIONS: a) What do you perceive is the basic problem in the company. b) What are the steps you will take serially to correct the situation. c) In the event of your suggesting a performance appraisal 1) How will you decide a suitable system of appraisal. 2) Will your system include merit, rewards and promotions. d) what type of training will be necessary before launching the appraisal system.