MCOB Module 1.pptx for MBA students examination

MBA subject

1. Management Concepts & Organisational Behaviour Semester 1 Dr. Geetha Jose

2. Module 1 : Management &Decision Making

3. 1.1 Changing Job of a Manager in the light of Technology & Digitization, Organisational & Managerial Ethics, Competitiveness, Security Threats – Managing Diversity 1.2 Role of Importance of Customers, Social Media, Innovation and Sustainability to Manager’s Job 1.3 Decision Making Process – Decision Making Conditions of Certainty, Risk & Uncertainty 1.4 Decision Making Perspectives – Rationality, Bounded Rationality, Intuition, Evidence Based Management 1.5 Effective Decision Making – Big Data & Decision Making

4. Six Key Transformations in Managerial Roles

5. Directive to Instructive

6. RESTRICTIVE TO EXPANSIVE

7. . EXCLUSIVE TO INCLUSIVE Elite decision-making - Only senior managers involved Homogeneous teams - Similar backgrounds and thinking Information hoarding - Need-to-know basis Hierarchical communication - Top-down only Single perspective dominance - One way of thinking Diverse participation - Multiple levels and perspectives involved Heterogeneous teams - Different backgrounds, experiences, and skills Information sharing - Transparency and open communication Multi-directional communication - All voices heard Multiple perspective integration - Valuing different viewpoints

8. REPETITIVE TO INNOVATIVE Status quo maintenance – " If it's not broken, don't fix it“ Standardized processes - Same way every time Past-based solutions - What worked before will work again Efficiency focus - Faster and cheaper execution Routine operations - Predictable and stable patterns Continuous improvement - "How can we make this better?“ Adaptive processes - Flexible and evolving methods Future-oriented solutions - Anticipating and preparing for change Effectiveness focus - Better outcomes and impact Creative operations - Experimentation and breakthroughs

9. Problem Solver Mindset Challenger Mindset "Putting out fires" "Preventing fires from starting" Fixing what's broken Reimagining what could be better Reactive maintenance Proactive transformation Solving immediate issues Growing the business systematically Quick fixes Sustainable improvements

10. …..to developing entrepreneurial behaviors and thinking within the organization,…..

11. How is the manager’s job changing? Managers are dealing with global economic and political uncertainties Changing workplace, ethical issues, security threats, and changing technology. India & Trump- Policies: Impact on Managers Visa Restrictions (H-1B tightening) Trump’s “America First” limited work visas. Impact: Indian IT companies (Infosys, TCS, Wipro) had to hire more locals in the U.S. and cut dependence on Indian staff onsite .

12. As of late August 2025, the U.S. has raised tariffs on Indian goods—including textiles, jewelry, footwear, and seafood—to up to 50%, creating widespread disruption across export-driven industries. The textile sector is particularly hard-hit: forecasts suggest a 20–25% decline in textile exports over the next six months due to the steep duties

13. What "Changes Facing Managers" Means Changes Facing Managers refers to the new challenges, pressures, and transformations that modern managers must address in today's rapidly evolving business environment, distinct from past managerial challenges.

14. Why These Changes Matter: Adaptation Requirement Limitations of Traditional Methods Necessity for New Skills Importance of Continuous Evolution Managers can no longer rely on methods that were effective 10-20 years ago due to changing environments. To maintain effectiveness, managers must acquire new skills and adopt innovative approaches. Ongoing adaptation and evolution of management styles are essential for sustained success.

15. Why These Changes Matter: Survival Imperative Risk of Failure Without Adaptation Obsolescence of Resistant Managers Competitive Advantage Through Change Failure to adapt to technological advances, market shifts, and regulations leads to inefficiencies and loss of relevance. Managers resisting change become ineffective and risk career decline in a rapidly evolving business environment. Embracing change fosters innovation and positions organizations ahead of competitors for sustained success.

16. Why These Changes Matter: Opportunity Recognition New Growth Opportunities Leveraging Change for Success Competitive Edge for Early Adopters Managers recognizing emerging trends can identify novel opportunities to expand organizations and enter untapped markets. Proactive managers embrace new technologies and adapt strategies to enhance decision-making and stay competitive. Early adopters gain advantages by swiftly integrating new skills and strategies, improving efficiency and stakeholder confidence.

17. Types of Changes: External Changes Affecting Managers Technology Advancement Market Competition Social Expectations Regulatory Environment Economic Conditions 1 Managers must integrate AI, automation, and digitalization into operations and strategies. 2 Managers navigate complex global competition to sustain and grow their organizations. 3 Managers respond to ethics, sustainability, and diversity demands by fostering inclusive workplaces. 4 Managers ensure compliance with evolving regulations and governance standards. 5 Managers adapt strategies to economic fluctuations to maintain organizational stability.

18. Types of Changes: Internal Changes Affecting Managers Workforce Demographics Organizational Structure Company Culture Business Models 1 Managers must adapt to generational differences and remote work trends . 2 Shift to flatter hierarchies requires enhanced coordination skills . 3 Leadership must align with values-driven and purpose-focused culture . 4 Digital transformation demands management of platform-based models .

19. Changing Job of a Manager in the light of Technology & Digitization

20. Changing Technology (Digitalization) Rapid adoption of UPI, automation Legacy systems vs. digital-first models Upskilling employees Example: Jio & UPI revolution The impact of change in managers job includes:

21. Changing Job of a Manager in the Light of Organisational and Managerial Ethics

22. Business ethics are foundational principles that guide the behavior and decision-making of companies and individuals , promoting trust and fairness in business operations. Corporate social responsibility(CSR) is a crucial aspect of business ethics, as it emphasizes balancing stakeholder needs with a commitment to societal welfare and sustainability.

23. MANAGERIAL ETHICS Managerial ethics are broken down into two primary types : Those that pertain to legal issues Those that pertain to moral issues Legal ethics consider the many rules and regulations for any company (scandals, non payment of minimum wage, gratuity) Moral standards of ethics don’t necessarily need to align with a company’s legal standards(fair and just)( gender inequality in promotions, layoffs )

24. Organizational ethics polices are defined to ensure that employees understand acceptable workplace behaviors , and that each group member or employee will be held accountable to act with integrity. CSR & ESG focus Example: Tata, Infosys, Amul ESG is a framework to measure how responsibly a company operates beyond just making profits. Environmental – How a company impacts nature (carbon footprint, waste, energy use). Social – How it treats people (employees, customers, communities). Governance – How it is managed (ethics, transparency, accountability).

25. Organizational & Managerial Ethics Corporate governance is the way a company is controlled, directed, and held accountable . Ethical failures: Nirav Modi : Nirav Modi built his empire on fraud and deception. Impact: Shareholders, employees, and customers all suffered. PNB lost investor trust, and its share prices fell. In January 2009 , founder Ramalinga Raju admitted he had falsified accounts for years(Satyam computers)

26. What happened with YES Bank? Founded in 2004 by Rana Kapoor and Ashok Kapur . It grew very fast and became India’s 4th largest private bank. But by 2020 , YES Bank faced a major crisis : Gave huge risky loans to failing companies (like IL&FS, DHFL, Jet Airways). Showed poor governance → weak internal checks, lack of transparency. Accused of overstating financial health to investors. Founder Rana Kapoor was arrested for money laundering and corruption.

27. Three Models of Management Ethics Archie B. Carroll, an eminent researcher in the area of social responsibility, identified three types of management, depending on the extent to which their decisions were ethical or moral: Moral Management Amoral Management Immoral Management

28. Moral management Moral management strives to follow ethical principles and doctrines. Moral managers strive to succeed without violating ethical standards. They seek to succeed while remaining within the bounds of fairness and justice. Such managers undertake activities which ensure that even though they engage in legal and ethical behavior, they continue to make a profit.

29. Immoral management Immoral management not only ignores ethical concerns; it also actively opposes ethical behavior. Organizations with immoral management are characterized by: Total concern for company profits only. Stress on profits and company success at any cost. Lack of empathy – managers are hardly bothered about others’ desire to be treated fairly. Laws are regarded as hurdles to be removed or eliminated.

30. Amoral management T his approach is neither immoral nor moral. It simply ignores ethical considerations. Amoral management is broadly categorized into two types: Intentional- does not consider ethical factors Unintentional- casual or careless about ethical considerations in business (bounded ethicality)

31. Term Meaning Example Moral Acting according to principles of right and wrong Helping a needy person is moral. Immoral Doing something you know is wrong, against accepted ethics Stealing money is immoral. Amoral Having no sense of right or wrong; indifferent to morality Ethics and Business are different Don’t Think of ethics of this decision

32. Changing job of a manager in the light of competitiveness

33. Globalisation The process by which businesses, cultures, technologies, ideas, and people become increasingly connected and interdependent across the world. It breaks down barriers between nations , allowing goods, services, capital, information, and knowledge to flow more freely across borders.

34. Globalisation When an iPhone is designed in the USA, manufactured in China, and sold in India — that’s globalization. When Netflix streams the same series worldwide, or McDonald’s adapts its menu to different countries, that’s also globalization. Trump’s “America First” policies reversed globalisation trends India’s Make in India and Atmanirbhar Bharat policies aim to boost local manufacturing and cut imports

35. Competitiveness If a company wants to survive and being superior, obtaining sustainable competitive advantages and superior performance over competitors is crucial. It is the firm ability to compete successfully in global markets ( Kogut,1993) Thus, a manager today is not just an administrator but a leader who drives competitive advantage .

36. Increased Competitiveness Globalization → intense rivalry Flipkart vs. Amazon vs. JioMart FMCG wars: HUL, ITC, Patanjali Example: Ola vs. Uber

37. Examples: In the film industry-digital marketing, social media trends, influencer tie-ups, and OTT releases. At Reliance Jio, managers were not just handling operations but had to design competitive strategies to beat established telecom players like Airtel and Vodafone.

38. Determinants of Competitiveness Prices & Costs → How competitive the company is in offering value at the right cost. Quality → Ability to consistently deliver superior products/services. Technological & Organizational Improvements → How well the firm innovates and adapts. Efficiency → Using resources in the best possible way. Relationships → Strong ties with other companies, government, and universities. Human Capital → Skills, knowledge, and motivation of employees.

39. Changing job of a manager in the light of security threats

40. Changing Security Threats From physical to cyber threats Data breaches in banks & companies Remote work risks Modern managers must think differently—security is no longer just an IT issue; it’s a leadership responsibility. Managers need to ensure awareness, training, and safe practices to protect both employees and organizations.

41. Unauthorized data disclosure as a result of malicious human activity. Pretexting - when someone deceives by pretending to be someone else. Phishing - when someone uses email to pretend to be a legitimate company in order to obtain private information. Spoofing- similar to pretexting, in that someone operates under the identity of someone to obtain information. Sniffing- a technique for intercepting computer communications by targeting unprotected wireless networks and using spyware or adware.

42. ✅ What Managers Should Do Build Awareness & Train Employees – Conduct regular workshops on phishing, password safety, and handling sensitive data. Strengthen Cybersecurity Policies – Ensure use of firewalls, encryption, multi-factor authentication, and regular software updates. Protect Data & Privacy – Limit access to confidential information, adopt data classification, and comply with privacy laws (like GDPR in Europe, DPDP Act in India). Prepare a Risk Management & Response Plan – Have clear steps for handling cyberattacks, including backups, incident response teams, and communication strategies. Collaborate with Experts – Engage cybersecurity firms, ethical hackers, or consultants to test systems and patch vulnerabilities.

43. Aadhaar Data Leak (2018 ) Imagine your Aadhaar details – name, phone number, and address – being sold online for just ₹500 . That’s what happened when a huge amount of Aadhaar-linked data was reportedly leaked. Since Aadhaar is tied to bank accounts, SIM cards, and subsidies , this created a massive risk of identity theft and financial fraud . Managers here learned that protecting customer data privacy is as important as protecting physical assets.

44. AIIMS Delhi Ransomware Attack (2022) Now think of India’s top hospital, AIIMS Delhi . In 2022, hackers launched a ransomware attack , shutting down servers and risking the data of 3–4 crore patients , including VVIPs. The hospital had to shift to manual record-keeping for weeks, causing delays and chaos. This showed that cyberattacks don’t just cause data leaks – they can disrupt critical services and impact millions of lives.

45. Changing job of a Manager in the light of Workplace Diversity

46. Workplace Diversity Diversity means recognizing, respecting, and valuing the unique qualities, talents, and perspectives of every individual. It’s about understanding that people differ in terms of gender, age, culture, religion, language, abilities, education, and experiences — and that these differences make an organisation stronger.

47. Kochi Metro Rail Limited (KMRL), in collaboration with Kerala’s Kudumbashree self-help group, made a pioneering move in 2017 by officially hiring 23 transgender individuals across various roles—ranging from ticketing and customer relations to housekeeping and gardening—making it the first government-owned organisation in India to do so

48. TCS Consistently highlights diversity in its CSR and HR reports. Women make up about 36% of its workforce (TCS 2023 Annual Report). Has initiatives for persons with disabilities .

49. Importance of Managing Workplace Diversity(Benefits) People Management Better use of employee talent Increased quality of team problem solving efforts Ability to attract and retain employees of diverse backgrounds

50. Importance of Managing Workplace Diversity Strategic Increased understanding of the market place, which improves ability to better market to diverse consumers Potential to improve sales growth and increase market share Potential source of competitive advantage because of improved innovation efforts Viewed as moral and ethical; the “right” thing to do

51. Types of Workplace Diversity

52. Assignment:Changes Facing Managers 1.2 Role of Importance of Customers, Social Media, Innovation and Sustainability to Manager’s Job Deadline: September 15 2025

53. 1.3 Decision Making Process – Decision Making Conditions of Certainty, Risk & Uncertainty

54. What is Decision Making? Decision making is the selection of a course of action from among alternatives; it is the core of planning.“ Harold Koontz & Cyril O'Donnell Decision Making is a systematic process of identifying problems or opportunities, generating alternative solutions , evaluating those alternatives, and selecting the best course of action to achieve desired objectives. Eg: Decision : Choosing to hire candidate A

55. Key Characteristics of Decision Making 1. It's a Process, Not a Single Act 2. It's Goal-Oriented 3. It Involves Alternatives 4.It's Based on Information 5. It Involves Risk and Uncertainty

56. Types of Decisions Programmed vs. Non-Programmed Decisions Structured vs. Unstructured Decisions Organisational level: Strategic, Tactical, Operational

57. Programmed vs. Non-Programmed Decisions

58. Programmed or Non Programmed? Inventory Reordering Scenario: A warehouse manager notices that printer paper stock has fallen to 100 boxes, which triggers the reorder point. When A happens do B Step 1, Step 2, Step 3 Market Entry Decisions Scenario: A US-based software company is considering expanding into the Asian market for the first time. Covid 19

59. Structured vs Unstructured Decisions

60. Structured/ Semi-structured/ Unstructured Loan Approval Based on Credit Score Scenario: A bank customer applies for a Rs.100000/- personal loan. The loan officer needs to decide whether to approve or deny the application. Performance Evaluation: A manager must evaluate an employee's annual performance and determine salary increase and promotion eligibility. Career change at mid life

61. Strategic vs Tactical vs Operational Decisions

62. Examples: Company mission/vision Market entry/exit Mergers & acquisitions Resource allocation Hiring strategies Daily work scheduling Customer service responses

63. Decision Making Steps Recognize need for a decision Frame the problem Generate & assess alternatives Choose among alternatives Implement chosen alternative Learn from feedback

64. Decision Making Steps 1. Recognize need for a decision: Managers must first realize that a decision must be made. Sparked by an event such as environment changes. 2. Generate alternatives: managers must develop feasible alternative courses of action. If good alternatives are missed, the resulting decision is poor. It is hard to develop creative alternatives, so managers need to look for new ideas. 3. Evaluate alternatives: what are the advantages and disadvantages of each alternative? Managers should specify criteria, then evaluate.

65. Decision Making Steps 4. Choose among alternatives: managers rank alternatives and decide. When ranking, all information needs to be considered. 5. Implement choose alternative: managers must now carry out the alternative. Often a decision is made and not implemented. 6. Learn from feedback: managers should consider what went right and wrong with the decision and learn for the future. Without feedback, managers never learn from experience and make the same mistake over.

66. Introduction to Decision-Making Environments Decision-making environments are the conditions under which decisions are made, characterized by the amount and quality of information available about possible outcomes. Three Primary Types: Certainty - Complete information about outcomes Risk - Probabilistic information about outcomes Uncertainty - Limited or no information about outcomes

67. Decision Making Perspectives Decision-making perspectives are different theoretical models and approaches that explain how people actually make decisions in real-world situations.

68. Decision Making Perspectives: Rationality - Perfect logical decision making Bounded Rationality - Rational but limited by constraints Intuition - Gut feeling and experience-based decisions Evidence-Based Management - Systematic use of data and research

69. The Rationality Perspective Rationality assumes decision makers are perfectly logical , have complete information, unlimited cognitive abilities, and always make optimal choices to maximize outcomes.

70. Bounded Rationality - Herbert Simon's Model Bounded Rationality recognizes that decision makers are rational but limited by cognitive constraints , time pressure, and incomplete information.

71. Intuitive Decision Making Intuitive decision making relies on gut feelings, hunches, and subconscious processing of information based on experience, pattern recognition, and emotional intelligence.

72. Evidence-Based Management Evidence-Based Management ( EBMgt ) is a systematic approach to decision making that uses the best available evidence from multiple sources to inform and improve management practices.

73. Find the decision making perspective . Scenario: A student wants to buy a laptop. They research all available options, compare specs, prices, and reviews, and then choose the one that offers the best value. Scenario: A manager needs to select a software for the team quickly. Instead of evaluating all options, they shortlist 2-3 software based on basic criteria and pick one that is “good enough.” Scenario: A doctor quickly diagnoses a patient based on a gut feeling and prior experience, before all lab reports are available. Scenario: A company decides on a new marketing strategy after reviewing past campaign data, market research, and competitor analysis.

74. Find the decision making perspective Comparing different car models’ features and prices before buying. Picking a restaurant from the nearest 2–3 options when short on time. Choosing a mobile phone quickly without checking all brands. Deciding to trust a new colleague instantly. A chef adding an ingredient to a recipe based on a “gut feeling.” A doctor prescribing treatment based on latest clinical research .

75. 7 steps of effective decision-making Step 1: Identify the decision. You realize that you need to make a decision. Step 2: Gather relevant information. Step 3: Identify the alternatives. Step 4: Weigh the evidence. Step 5: Choose among alternatives. Step 6: Take action. Step 7: Review your decision & its consequences.

76. What are the 3 C's of effective decision making? Clarify= Clearly identify the decision to be made or the problem to be solved. Consider=Think about the possible choices and what would happen for each choice. Think about the positive and negative consequences for each choice.  Choose=Choose the best choice!

77. What skills are required to be a good decision maker?

78. What skills are required to be a good decision maker? Problem-solving Leadership Logical Reasoning Intuition Teamwork Emotional Intelligence Creativity Time management Organization

79. Big Data Massive volumes of structured, semi-structured, and unstructured data generated continuously from various sources . Enables better insights, forecasting, and decision-making in organizations.

80. Characteristics of Big Data 1. Volume – size of data 2. Velocity – Speed of data generation and processing 3. Velocity – Speed of data generation and processing 4. Veracity – Trustworthiness and quality of data 5. Value – Insights derived from data

81. Descriptive Analytics – What happened? Purpose: Summarizes historical data to understand past trends and performance. Big Data Role: Handles large volumes of structured and unstructured data to provide accurate reports. Example: A retail chain uses big data from sales, social media, and inventory systems to find out which products sold the most last quarter. Decision-Making: Helps managers understand past performance and identify areas of improvement.

82. Predictive Analytics – What is likely to happen? Uses statistical models, machine learning, and AI to forecast future events. Leverages high-velocity, high-volume, and diverse data to make more accurate predictions. E-commerce companies use browsing history, purchase patterns, and social media trends to predict which products a customer is likely to buy next . Supports proactive strategies, like risk mitigation.

83. Prescriptive Analytics: What should we do? Purpose: Recommends actions based on predictions and simulations to optimize outcomes. Big Data Role: Combines structured/unstructured data, predictive models, and optimization algorithms to guide decisions. Healthcare systems analyze patient data to recommend personalized treatment plans. Decision-Making: Helps organizations choose the best course of action rather than just predicting future events.

84. Happy Learning!!!