Friday, March 21, 2008

Western Management Concepts in Indian Companies

I want to share some insights about management in Indian context, how it effects and so and so when compared with the western management theories and concepts. So let’s start………

Hope this will be helpful for the young entrepreneurs in understanding the ground rules in India

Motivation in Indian Context.

Management as we know today is basically borrowed from the west, mainly USA. It’s not from Indian origin and it’s not based on Indian heritage. Indian B-schools design MBA course curriculum based on western Business Schools (for your kind information case study based study methodology is adopted from Harvard’s itself).Thus they ignore the Indian situation.

Management is mainly behavioral study (i.e. consumer, market, buyer, seller…), but they don’t teach how Indian’s behave… (Remember ganguly’s).

Lets not go deep into pro and cons about every thing in management. Let’s have a look into subject Organisational Behavior and Maslov’s theory of motivation.

Maslov’s theory of motivation:

Management text books refer Maslov’s need theory in motivating employees.
He says- a person have five needs—physiological, security, social, esteem, and self actualization. A manager or leader is to satisfy these needs of his subordinates to motivate him to achieve more.

Lets us analyze this theory in Indian context:

In a company, who should motivate workers who are in majority? (Here I am not talking about top management). In day to day life a supervisor, a Graduate engineer Trainee (GET) or a young management trainee (YMT) works with the bottom line people. Now my question is does the GET’s or YMT’s have the authority to satisfy the physiological needs of his sub-ordinate? Only the top management decides whether he deserves a promotion or salary hike or not.

Now security needs: The offer letter which every company gives clearly states that it’s a contract between two parties and this can be terminated by either with or without notice. So no security…. he he he…

As the two basic needs are not fulfilled by a superior or an executive who should motivate his juniors. So Maslov’s theory does not help us in practical field in India.

Another context – In Japan they have life-long employment and they are doing well. We in India have permanent jobs in government organizations and you know the rest of the story…. So, Job security brings positive result in Japan and negative result in India.

Any Comments and ideas to share...?

Wait and Watch for part 2....

1 comment:

chunchunruss said...

Hi, I tend to agree about what u said. But isn't it true that what u mentioned is true across the whole Asia? There's surely no job security whatsoever anywhere. If u r unemployed, it's nobody's fault, but ur own.

One more thing: Lifetime employment is no more in Japan since the economic bubbles burst in the 90s (well, at least no more for the fresh grads) That's why there r so many temporary/ part time workers around. Even a full time position is difficult to come by now.
Actually, permanent gov position produces bad result is not just an Indian phenomenon, but a worldwide problem. Even elected officials cant guaranteed to produce effective results, what can u say abt very secured job positions?
Problems surely arise, if u convert all civil servants into contract based. They will be complainting abt no job security, low salary.. blah blah blah.

I know in India, the public sector is very large and has a strong labour union movement. I guess they dislike any types of change. Just like what u see in France n Germany.