Organisational Relevance
UNIT 2 SOCIAL ISSUES AND
ORGANISATIONAL RELEVANCE
Objectives
2.1 INTRODUCTION
A major transformation in environment necessitates a shift in individual and
collective paradigm as the old ways of explaining reality tend to become
dysfunctional. The old construct of reality does not allow us to comprehend and
incorporate the changes and the demands of the emergent environment let alone
being responsive to change, what John Naisbitt in his famous book Mega Trends
calls the current period the `age of parenthesis' (Naisbitt, 1982) meaning thereby that
we are constantly in the phase of transition from old to the new.
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Social Processes and
Issues
2.2 SOCIAL ISSUES
The new history, beginning from 1947 was started with the euphoria of regaining
freedom, this released a great deal of energy and fervour towards nation building. In
order to accelerate the processes of nation building, the country chose to industrialise
itself as rapidly as possible and Western models were emulated on a large scale. This
resulted in almost everything Indian being seen as intrinsically inferior. The
collective impact of this was a loss of elan as a result of which before taking any new
step India looked abroad for precedents. Thus the reality of local experience was
rapidly hidden under a false mask of Western intellectual rationality. For instance, all
education began to focus itself on only techno-economic information rather than
helping the youth develop appropriate perspectives and create a new culture of
belonging, achievements and commitment.
All social institutions which reinforce and strengthen the sense of belonging of
Indians both to India and to their respective communities and organisation began to
get devalued resulting in a large scale erosion of norms to follow and values to live
by, Spontaneous solutions to realistic problems facing people in the lifestyle and their
work place were no longer easily available.
All this in managerial and organisational terms generated a search for security such
that employment generally came to mean a source of social status and economic
security. A syndrome of survival emerged on a large scale. In this syndrome
creativity or productivity took a secondary place but ensuring continuance of security
became the primary concern in the individual's relationship with the organisation.
Mechanisms for management of differences both in society and subsequently within
organisations nearly broke down. Thus the decade starting mid sixties began to see
large scale emergence of both industrial unrest and communal tensions.
More urbanised and more industrialised parts of the country began to offer greater
opportunities for economic success and at the same time began to show greater
amount of stresses, valuelessness and breakdown of fundamental social institutions
such as the family.
The attempt to create rapid industrialisation has generated rapid urbanisation in India.
A large part of our industrial workforce (including white collar) are often only second
generation urban and industrial members. The values of agrarian society still
characterise much of the work processes within organisations,
The Indian economy has been largely on agriculture. As such large part of its design
of living and social structure have been centered around the imperatives of the tech-
nology of agriculture. From a management perspective it is important to note that in
an agrarian life-style people know how to live together and work independently,
often in isolation, while the industrial world today demands the ability to work
together and live in small families. In an agrarian society there are no significant or
major group tasks that are undertaken, group tasks 'are undertaken in crises or for
community activities such as festivals. Economic activity of the individual is rarely
interdependent with others except in the market place. Also in an agrarian society
formal organisations for achieving specialised output is an unknown phenomenon.
Structures in the minds of people are drawn almost entirely from the family. As such
all authority relations are given a totality which is often illegitimate and uncalled for.
That authority in a task system comes from the task role the individual holds is
normally not seen, but he is attributed authority on a total scale by the subordinates.
Mahatma Gandhi is the most illustrious example, who showed how the exercise of
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Social Issues and
authority need to be placed within legitimate limits from time to time. Organisational Relevance
Organisations, most of which are designed on the concept of contractual links, thus
find themselves getting pulled in the direction of becoming affiliative systems. Em-
ployees at all levels end up remaining concerned for their own security.
Organisations thus have the responsibility of helping their own members develop
reasonably uniform codes and attitudes towards work as well as design and manage
suitable social activities in the nature of ceremonies and events. Failure to do this
tends to heighten doubts, fears, anxieties and isolation which then create defensive
behaviour.
Societies develop their own respective collective paradigm which provides the basic
framework by which they explain the nature of reality, enact their external environ-
ments and define their-relationship with external world. Reality thus is socially
constructed based on the shared consciousness amongst societal members. The
collective fixed mental states or metaphors include a set of beliefs, values and
assumptions through which a society constructs reality.
The world has witnessed major shifts in paradigm since agricultural revolution. The
agrarian society was characterised by mind-set which included,
Permanent settlement
Joint and extended family
Religion as the main social control mechanism
Teamwork and collaborative orientation
Self sufficiency through symbiotic relationship
Distinct roles of men and women
Ascribed status based on caste hierarchy
Consumption based production for meeting
It was in the seventeenth century in the Western Europe that industrial revolution
took place which sought to replace the agricultural era paradigm. The industrial
paradigm emphasised,
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Social Processes and Large scale migration due to urbanisation
Issues
Nuclear family
Special purpose social institutions (legal/administrative) as social control
mechanisms
Individualism and competition
Increased dependence on trade and commerce
Converging role of men and women
Achieved status based on careers in organisation
Profit maximisation
It was around mid sixties that saw the emergence of post industrial paradigm with
focus on,
The individual and collective paradigm of a vast majority of Indian populace is even
now based on the agrarian mind-set. Effecting change in the paradigm of employees
particularly in the traditional unorganised sector to meet the challenges of emerging
information based society will be an uphill task for managers of the future. Thus,
there will be need to align employees behaviour with the changing paradigm.
In India, work was performed as social obligation and caste system symbolised
differences in occupations. Work organisations are embedded in social system and
cultural values. Majority of people even now work in agrarian sector central to the
social system which sustains the traditional social system.
19
Social Processes and tions in work schedules or on site day-care. A disabled can require social access to a
Issues building and specially designed work area.
The old school of thought where seniority were rewarded is no longer valid. People
belonging to different ethnic, cultural and professional groups have to work together.
Diversity arising out of cultural differences result in clash of priorities, conflicting
values, varied work habits and different expectations. The need for effective cross-
cultural management is thus imperative. This has led to a very competitive
atmosphere where there is no place for complacency.
In agrarian society, the technology of living involved a complex and large network of
roles. This network provided a great deal of stability, permanence and continuity.
The, industrial society on the other hand demands the setting up of much smaller
families living in a community in which blood ties do not determine the strength of
relatedness.
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Social Issues and
Thus, the nature of home and family as it is evolving amongst members of the Organisational Relevance
organised sector and urban sectors, is a relatively new and unknown phenomenon
such that basic role definitions of husband, wife, mother, father, son and daughter are
in question. The bread-winner spends more time outside the home than within the
home and often finds that his values and norms are being heavily questioned and
often influenced by the organisation he works in. These are often in contradiction
with those which the family fostered.
The impact of this on organisations and work settings is that the individual wishes to
find belonging with the organisation but at the same time doubts the possibility of its
emergence. In holding this ambivalence individuals inadvertently erode the possibili-
ties of a new kind of secure belonging from emerging. In the context of
developmental work this often becomes a major source of tension and anguish in
organisation. From the point of view of Personnel and I R functions, this is a critical
issue. It has been seen that organisations which fail to foster a sense of belonging end
up being con-fronted by hostile behaviour from Unions (large nationalised banks is
one example). This is so since the union in organisation becomes the community of
belonging of the workers. Low sense of belonging to the organisation at managerial
levels ends up influencing decision making very significant.
The third social institution which is experiencing the turbulence emerging from
transition is the education process. Formal education in India in its present form was
established by the colonial rulers in order to train manpower for their own use. Very
few changes have been possible in the basic process of education since the early days
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Social Processes and of its establishment in the country. It is only in the last decade where it is being
Issues increasingly recognised that new dimensions need to be added to the process of
education.
Until now education has focused almost entirely and exclusively on equipping indi-
viduals with the tools and techniques which they can carry to the work place. Thus
techno-informative knowledge has been the central focus of the process of education.
In the main the institution of education has not provided an integration between
experience and knowledge, perspectives and skills and the ability to respond with
human creativity. The education process thus is usually experienced as being sterile
and often de-humanising and almost invariably un-inspiring. The student thus goes
through his education feeling skeptical towards the environment, towards formal
systems and finds it difficult to place his trust on colleagues. In the face of this
organisations increasingly are taking to developing continuity education processes in
the shape of management development and worker education.
The capacity of an organisation in generating knowledge from within and outside the
organisation, sharing it with appropriate stakeholders and utilising it to bring about
continuous improvement in product, processes, services, approach and perspective
will become imperative for gaining leading edge in the competitive environment.
Development of core competencies to deal with the growing obsolescence in
technologies, knowledge, organisational practices leading to shortening of life cycle
of expertise will become a primary area of concern. The emphasis will be on
increasing the employability of people rather than providing them security of
employment.
2.5.2 Changeability
Leading rather than responding to change will become a critical factor in ensuring
growth and development of organisations. The focus has to shift from initiating and
managing change to increasing the changeability of the system so as to enable the
organisation withstand the pressures and challenges of global competition. Increasing
changeability would involve continuous redefinition of raison deetre of individuals
and organisations, fundamental transformation in mindsets and mental models of
various stakeholders, competency enhancement, capacity building and systematic
orientation.
Compliance and identification as motives for change will have inherent limitations in
the absence of a clear picture of the probable future. Incorporating the value of
change in the cognitive and emotive framework of individuals will become
imperative. Employees have to learn to operate in an environment characterised by
uncertainty and chaos. This will necessitate continuous self renewal in order to seek
creative resolution of tension arising out of widening gap between the assumed
reality and requisite reality.
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Social Issues and
2.5.4 Democratisation of Work Process Organisational Relevance
2.5.5 Empowerment
As employees are accorded the status of business partners, thus becoming internal
stakeholders, organisations capacity in meeting their expectations, as also aspirations
, will play a decisive role in determining their survival. As the information and
expertise base is shifting downwards, managers at the upper echelons of hierarchy
will no longer be in a: position to provide clear and specific direction. As employees
in their respective spheres of work will acquire skills and have access to and support
from IT based systems, they will be in a better position to regulate and control the
process and the output. Generating commitment among the employees will be a
necessary condition enabling them to become self directed and self-controlled.
Retention and enlargement of customer base will yet be another challenge for
organisations as the customers have ever increasing access to information on
products and services available across the globe resulting in greater freedom of
choice. Relationship management for sustained growth of customer base will become
critical to continued survival of organisations more so in the context of demand of
customised product, shortening of product cycles and ever rising expectations of
customers shaped by possibilities that the information and related technologies will
provide.
Normative orientation to customer services thus will replace the existing pragmatic
orientation customers will look for more and more integrated services and brand
loyalty will give way to the corporate image based on credibility, ethical standards
and expanded awareness of and response to social and ecological concerns. Customer
relationship will have to be redefined not only in terms of quality and speed of
service to customers but also in terms of their long-term commitment as a strategic
business partner.
As the organisation owes its existence to the support it is able to mobilise from
various components of the environment: socio-cultural; politico-legal; economic; and
ecological. Various constituents of the environment whose contribution is required by
the organisation and inducements that the constituents expect are called stakeholders.
Stakeholders can be internal to the organisation such as organisation members, the
unions and the top management which draws its authority from the Board of Direc-
tors. Examples of external stakeholders would include investors, legal and financial
institutions, suppliers of resources, contractors, customers, government and non-
government regulating agencies and community at large. Since the community, the
government and various interest groups of the society are important stakeholders,
their expectations Must be met. The following Figure 1 illustrates the major internal
and external stakeholders.
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Social Processes and
Issues
Box 1
2.6 SUMMARY
The history of the country, as it has been held, often in distorted form has contributed
to Indians often doubting their own capabilities. Thus efforts at organising coordi-
nated work output is often clouded with predicting defeat and failure. A losing team
syndrome has set in which made seeking success difficult. An associated syndrome
of "survival" often makes it difficult for organisations to review their own processes
and bring in improvements. Thus, every manager individually and organisations as
system of people carry the responsibility of finding solutions to their barriers along
with doing their chosen or given tasks. In this unit we have also talked about
organisational relevance in today's scenario and also social issues where there is a
shift from the traditional background.
8. Discuss the emerging role of managers in view of the qualitative change in the
nature of workforce.
Senge, M. Peter (1990), The Fifth Discipline (1st ed.), Doubleday, New York, pp. 57-
67 and pp. 205-232.
Srivastava, Bhupen and Panda, Mamta (2003), `Paradigm Shift and Dimensions of
Work Culture: Implications for Organisations', Global Business Review, Sage Publi-
cation, Vol. 4, Nos. 2, New Delhi, pp. 285-310.
French, W.L. and Bell, C.H. (1991), Organization Development Behavioural Science
Interventions for Organization Improvement, Prentice-Hall of India, New Delhi.
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