Crisis Blown over

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Case Study 4 ± Crisis Blown Over

Ques 1. Do you think that the Bangalore-based company had practiced participative management? Answer. During such a crisis the company and the union both showed great sense of oneness. They both come together for solving the problem and thus ensured that the employees and the employers both don’t suffer the consequences of the factory being shut for non-production by the workers. Yes, they have practiced participative management. Participative (or participatory) management, otherwise known as employee involvement or participative decision making, encourages the involvement of stakeholders at all levels of an organization in the analysis of problems, development of strategies, and implementation of solutions. Employees are invited to share in the decision-making process of the firm by participating in activities such as setting goals, determining work schedules, and making suggestions. Other forms of participative management include increasing the responsibility of employees (job enrichment); forming self-managed teams, quality circles, or quality-of-work-life committees; andsoliciting survey feedback. Participative management, however, involves more than allowing employees to take part in making decisions. It also involves management treating the ideas andsuggestions of employees with consideration and respect. In this case when the accident happened in the Machine Shop, which could have snowballed into a full fledged strike, the management sought help from the union leaders who responded in a positive manner. After discussions between management and the union leaders, a decision was made about how to create normalcy and the compensation package for the deceased employee’s family. Thus, we can see participative management in force.

Ques 2. If your answer is Yes, with what method of participation (you have read in the chapter) do relate the above case? Answer. Participative Management involves both the management and the...
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