emerging issues and challenges of management in changing environment

1. EMERGING HORIZONS OF
MANAGEMENT IN
CHANGING ENVIRONMENT
MONIRBA (UNIVERSITY OF
ALLAHABAD)
49TH BATCH
PRESENTED BY:SANJEEV KUMAR PATEL
&
HEMANT KUMAR

2. EMERGING - JUST COMING INTO PROMINANCE

3. IMPORTANT AREAS CREATING CHALLENGES
 Changing Technology.
Changing Security Threats.
Increased emphasis on Organizational and Managerial Ethics.
Increased Competitiveness.
Changing Economical environment.
Social environment.
Changing International environment.
The Manager’s Core Work in the New Economy.
Qualities of future Managers.
Issues involved in Future environment.

4. CHANGING TECHNOLOGY
a)Virtual Workplace.
b)More Mobile Workforce.
c) Flexible Work Arrangements.
d)Empowered Employees.
e)Work life-Personal life balance.
Stephen P. Robbins, Mary Coulter, Neharika Vohra

5. *
VIRTUAL WORKPLACE
A virtual workplace is a workplace
that is not located in any one
physical place. It is usually
network of several workplaces
technologically connected by the
internet
without
regard
to
geographical boundaries.
•
•
•
•
Having no geographical area.
No centralised office building.
Are more flexible.
Able to respond rapidly to
market needs.

6. MORE MOBILE WORKFORCE
Persons who are not directly connected with organization but
according to need of Organization they render there services. And
organization contacts with such persons when it needs. And they
are in independent and also connected with many other
organizations .

7. FLEXIBLE WORK ARRANGEMENTS
Work practices explained by employer in employment policies and contracts that
allows the employees a certain degree of freedom in deciding how the work will
be done and how they will coordinate their schedules with those of other
employees . The employer sets certain limits such as a minimum and maximum
number of working hours everyday and the core time.
WHEN-:
Flexible working hour
 Part time work
WHERE
Working from office
Working remotely
HOW
Job sharing
Phased retirement

8. EMPLOYEES EMPOWEREMENT
Employees empowerment is a management
practice of sharing information, rewards, and
powers with employees so that they can take
initiative and make decisions to solve problems and
improve service and performance.
Empowerment is based on:• Developing skills.
• Providing resources.
• Giving authority.
• Giving opportunity.
• Motivation .
• Holding them accountable for outcomes of their actions.

9. WORK LIFE - PERSONAL LIFE BALANCE
Many peoples are putting extra hours or using
their smart phones to be on call when they are
not physically at work and it becomes
challenging to balance
Personal life with work life for the employees .
which affects the over all performance of the
employees and ultimately of Organization.

10. CHANGING SECURITY THREATS
a)Risk Management
b)Uncertainty over future energy sources/prices
c) Discrimination concern
d)Globalization concern

11. * Definition of Risk
• A risk is a potential problem – it might happen and it might
not
• Conceptual definition of risk
– Risk concerns future happenings
– Risk involves change in mind, opinion, actions, places,
etc.
– Risk involves choice and the uncertainty that choice
entails
• Two characteristics of risk
– Uncertainty – the risk may or may not happen, that is,
there are no 100% risks (those, instead, are called
limitations)
– Loss – the risk becomes a reality and unwanted
consequences or losses occur

12. *
In risk management, a prioritization process is followed
whereby the risks with the greatest loss and the greatest
probability of occurring are handled first, and risks with
lower probability of occurrence and lower loss are
handled in descending order.
STEPS FOR RISK MANAGEMENT
1)
2)
3)
4)
Identify possible risks; recognize what can go wrong
Analyze each risk to estimate the probability that it
will occur and the impact (i.e., damage) that it will do
if it does occur
Rank the risks by probability and impact
- Impact may be negligible, marginal, critical, and
catastrophic
Develop a contingency plan to manage those risks
having high probability and high impact

13. *UNCERTAINTY OVER FUTURE
ENERGY RESOURCES/PRICES
*
In terms of energy sources fossil fuels consist of
93%, water for 1% and labour for 6%. It is the need of
the hour to have energy security. The term is used
in regard with pilling the crude oil, finding
alternative to the fossil fuels. With the growth of
business the management has to find newer means
to satisfy it’s need of energy. Conventional and nonconventional resources both should be used for
generating
energy.

14. *DISCRIMINATION
CONCERN

15. INCREASED EMPHASIS ON ORGANIZONAL AND
MANAGERIAL ETHICS
Organizational Ethic is an ethical treatment of
employees , stockholders, owners and the public by the
company.
from management perspective , behaving ethically is an
integral part of long term career success.
Managerial Ethic is the code of morale of managerial
conduct that raises question about the goodness and
badness of managerial actions.

16. *
A. GLOBALISATION
B.CUSTOMER SERVICE
C.INNOVATION

17. *GLOBALISATION

18. *CUSTOMER SERVICE
* It is to provide service to the
consumer before, during and
after a purchase. Customer
service is important because
customer loyalty develops as
customers feel a connection with
A company.

19. *INNOVATION
It is a method by which an idea gets converted into any
economical form which satisfies some need. It can be of any three
forms-:
1. Pioneering Innovation:(brand new product) rarest form
2. Best Practice Innovation:(other-industry best practices)most common
3. Technological Innovation:(existing form of technology is introduced into or
..
Advantages-:
>Competitive advantage
>Speed-up of process
>Increasing brand value
>Increasing the market
used in a new way)

20. CHANGES IN ECONOMIC ENVIRONMENT
Government policy of liberalization of industrial
licensing.
FDI.
Growth of multinational corporations.

21. GOVERNMENT POLICY OF LIBERALIZATION OF
INDUSTRIAL LICENCING
LIBERALIZATION means fewer government regulations
and restrictions in economy in exchange for greater
participation of private entities.
LIBERAIZATION Policy includes:a) Partial or full privatization of government institutions
and assets.
b) Greater labour market flexibility.
c) Lower tax rates for business.
d) Less restriction on both domestic and foreign capital.
e) Open markets.

22. CONTINUE……..
ADVANTAGES: Removal of controls.
 Positive growth.
 lower inflation.
 Lower unemployment.
 Higher GDP.
 Higher overall standard of living

23. FDI
WHAT IS FDI ?
 IMF defines FDI as “when one individual or business
owns 10% or more of a foreign company’s capital. Every
financial transaction afterwards is considered by the IMF as
an additional direct investment. If an investor owns less than
10% it is considered nothing more than an addition to his/her
stock portfolio.
 FDI
is a direct investment into production or business in a
country by an individual or a company in another country
either by buying a company in the target country or by
expanding operations of an existing business in that
country.

24. IMPORTANT SECTORS AND PERCENTAGE OF FDI ALLOWED
SECTORS
PREVIOUS
CURRENT
TELECOM
74%
100%
CIVIL AVIATION
49%
49%
SINGLE BRAND RETAIL
49%
100%
INSURANCE
26%
49%
PETROLIUM
49%
49%
COURIER SERVICES
100%
100%
DEFENCE PRODUCTION
26%
26%

25. GROWTH OF MULTINATIONAL CORPORATIONS
A multinational corporation is a corporation that is
registered in more than one country or that has
operation in more than one country . It is a large
corporation which both produces and sells goods
or services in various countries. It can also be
referred as INTERNATIONAL CORPORATIONS.
How MNCs affect local business: Employment.
 Crowding out competition.
 Working conditions.
 Technology transfer.

26. SOCIAL ENVIRONMENT
Population explosion.
Educational level.
Leisure time.
Public opinion.
Reconciliation of conflicting demand of
social
group

27. CHANGING INTERNATIONAL
ENVIRONMENT
GATT.
WTO.
IMF.

28. WTO
FORMATION
HEADQUARTER
–
-
MEMBERSHIP
OFFICIAL LANGUAGE SPANISH
DIRECTOR GENERAL -
1 JANUARY 1995
GENEVA (Switzerland)
159 COUNTRIES
ENGLISH, FRENCH and
ROBERTO AZEVEDO
It is an organization that intends to supervise and
liberalize international trade . It deals with regulation of
trade between participating countries. It provides a
framework for negotiating and formalizing trade
agreements and solving the disputes related to trade.

29. IMF
FORMATION
TYPE
ORGANIZATION
HEAD QUARTER
- 1st MARCH 1947
- INTERNATIONAL FINANCIAL
- WASHINGTON D.C. (US)
MEMBERSHIP
- 29 Countries(Founding) 188 Countries
(to date)
OFFICIAL LANGUAGE – ENGLISH, FRENCH and SPANISH
MANAGING DIRECTOR – CHRISTINE LAGARDE
IMF describes itself as an organization of working to foster global
monetary cooperation , secure financial stability, facilitate
international trade, promote high employment and sustainable
economic growth and reduce poverty around the world.

30. Various managerial skills should be possessed
by
managers at all levels
A Manager besides being a specialist in his area
of specialization, must also posses requisite
knowledge about other areas of management.
Manager’s vision should be clear, he must be
able to absorb future information, make and
implement the decisions based on this
information.

31. TERRORISM
Terrorism imposes a significant economic effect on
society and will not only lead to direct material
damage, but to long term effects on the local
economy.
Terror
Event
Primary
Impact
Secondary
Impact
Total
Economic
Impact

32. CYBER TERRORISM
Cyber terrorism is a number of devious
criminal practices designed to breach a
company’s computer security. The purpose of
electronic break and enter can be to steal the
financial information of the business or its
customers to destroy the service to the
company website or to install a virus that
monitors a company’s online activity in the
future.