Power & Politics in FMCG Industry

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    Presented By:Presented By:

    Sudip DuttaSudip Dutta

    PGDM 2010PGDM 2010 -- 20122012TermTerm IIII

    ORGANIZATIONAL BEHAVIORORGANIZATIONAL BEHAVIOR

    POWER & POLITICS IN FMCG INDUSTRYPOWER & POLITICS IN FMCG INDUSTRYPOWER & POLITICS IN FMCG INDUSTRYPOWER & POLITICS IN FMCG INDUSTRY

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    INTRODUCTIONINTRODUCTIONINTRODUCTIONINTRODUCTION

    Power is one of the most desired human wants.Power is one of the most desired human wants.

    Power in business world, may be defined as :Power in business world, may be defined as :

    The exercise of influence or control over anothersThe exercise of influence or control over anothers

    behavior.behavior.

    Politics, in business world, may be defined as :Politics, in business world, may be defined as :

    The tactics to obtain a desired goal, position or status in anThe tactics to obtain a desired goal, position or status in an

    organization.organization.

    The organizational management & leadership practiceThe organizational management & leadership practiceof a company depends largely on power and politics.of a company depends largely on power and politics.

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    OBJECTIVE OF THE STUDYOBJECTIVE OF THE STUDYOBJECTIVE OF THE STUDYOBJECTIVE OF THE STUDY

    To identify 2 senior managersTo identify 2 senior managers in FMCGin FMCG organizationorganization

    & to analyze the effect of Power & Politics on their :& to analyze the effect of Power & Politics on their :--

    Career progression.Career progression.

    Achievement of goals of the organization.Achievement of goals of the organization.

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    METHODOLOGYMETHODOLOGYMETHODOLOGYMETHODOLOGY

    EMAMI LTD., a leading FMCG organizationEMAMI LTD., a leading FMCG organization wwasasapproached by us.approached by us.

    Mr. Nayan Bhattacharya, Sr. Officer (Mgmt. ServicesMr. Nayan Bhattacharya, Sr. Officer (Mgmt. Services

    Division) & Mr. Hemanth Kothari (Asst. ManagerDivision) & Mr. Hemanth Kothari (Asst. Manager

    Corporate Services) were interviewed based onCorporate Services) were interviewed based oncertain questionnaires on:certain questionnaires on:

    How PowerHow Power--oriented am I ?oriented am I ?

    Whats my preferred type of power ?Whats my preferred type of power ?

    How good am I at playing politics ?How good am I at playing politics ?

    Whats my preferred conflictWhats my preferred conflict--handling style ?handling style ?

    Whats my negotiating style ?Whats my negotiating style ?

    Is my workplace political ?Is my workplace political ?

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    PROFILES OF THE INTERVIEWEDPROFILES OF THE INTERVIEWEDPROFILES OF THE INTERVIEWEDPROFILES OF THE INTERVIEWED

    Mr. Nayan BhattacharyaMr. Nayan Bhattacharya

    Senior OfficerSenior Officer Management Services DivisionManagement Services Division

    ICWA, CA (Inter)ICWA, CA (Inter)

    Total Experience at Emami Ltd.Total Experience at Emami Ltd. October 2006October 2006to present.to present.

    Mr. Hemanth KothariMr. Hemanth Kothari

    Assistant ManagerAssistant Manager Corporate ServicesCorporate Services

    PGDM (Finance), Globsyn Business School(06)PGDM (Finance), Globsyn Business School(06)

    Total Experience at Emami Ltd.Total Experience at Emami Ltd. April 2008 toApril 2008 to

    present.present.

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    FINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATION

    Based on the questionnaire titled HOW POWERBased on the questionnaire titled HOW POWER--ORIENTED AM I ?; we found that theORIENTED AM I ?; we found that the

    Machiavellianism (Mach) score is HIGH, signifyingMachiavellianism (Mach) score is HIGH, signifying

    that they are :that they are :

    PragmaticPragmatic Maintains emotional distanceMaintains emotional distance

    Believes that end can justify means.Believes that end can justify means.

    People with high Mach manipulate more, win more,People with high Mach manipulate more, win more,

    are persuaded less. They are more likely to shade theare persuaded less. They are more likely to shade thetruth or act unethically in ambiguous situations wheretruth or act unethically in ambiguous situations where

    the outcome is important for them.the outcome is important for them.

    moremore

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    FINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATION

    Based on the questionnaire titled WHATS MYBased on the questionnaire titled WHATS MYPREFERRED TYPE OF POWER?; we found thatPREFERRED TYPE OF POWER?; we found that

    Legitimate and Expert power is dominant signifyingLegitimate and Expert power is dominant signifying

    that they :that they :

    Prefer to influence others based on their formal positionPrefer to influence others based on their formal positionand based on possessing knowledge or skill.and based on possessing knowledge or skill.

    moremore

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    FINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATION

    Based on the questionnaire titled HOW GOOD AM IBased on the questionnaire titled HOW GOOD AM IAT PLAYING POLITICS ?; we found that :AT PLAYING POLITICS ?; we found that :

    Their scores were HIGH signifying that they were havingTheir scores were HIGH signifying that they were having

    better political skills.better political skills.

    They knew precisely what they were supposed to do inThey knew precisely what they were supposed to do indifferent social situations at work in a sincere, anddifferent social situations at work in a sincere, and

    engaging manner that disguises any ulterior, selfengaging manner that disguises any ulterior, self--servingserving

    motives.motives.

    moremore

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    FINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATION

    Based on the questionnaire titled WHATS MYBased on the questionnaire titled WHATS MYPREFERRED CONFLICTPREFERRED CONFLICT--HANDLING STYLE ?;HANDLING STYLE ?;

    we found that :we found that :

    Their primary style of conflictTheir primary style of conflict--handling was AVOIDING,handling was AVOIDING,

    i.e. the desire to withdraw or suppress the conflict.i.e. the desire to withdraw or suppress the conflict. This clearly shows that they were very powerThis clearly shows that they were very power--oriented.oriented.

    moremore

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    FINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATION

    Based on the questionnaire titled WHATS MYBased on the questionnaire titled WHATS MYNEGOTIATING STYLE ?; we found that :NEGOTIATING STYLE ?; we found that :

    They were experts in negotiation, i.e. they favorThey were experts in negotiation, i.e. they favor

    collaboration, rationality and direct communication style.collaboration, rationality and direct communication style.

    moremore

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    FINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATIONFINDINGS & INTERPRETATION

    Political behavior, defined as selfPolitical behavior, defined as self--serving behaviorserving behaviornot formally sanctioned by the organization, exists tonot formally sanctioned by the organization, exists to

    some extent in every organization.some extent in every organization.

    Based on the questionnaire titled IS MYBased on the questionnaire titled IS MY

    WORKPLACE POLITICAL ?; we found that :WORKPLACE POLITICAL ?; we found that : The workplace had moderate political activity.The workplace had moderate political activity.

    Highly political organizations are generally stressful for theHighly political organizations are generally stressful for the

    employees, having high levels of absenteeism, and jobemployees, having high levels of absenteeism, and job

    dissatisfaction; which is not the case for EMAMI Ltd.dissatisfaction; which is not the case for EMAMI Ltd.

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    CONCLUSIONCONCLUSIONCONCLUSIONCONCLUSION

    We found that the managers at EMAMI Ltd. are having highWe found that the managers at EMAMI Ltd. are having high

    Mach levels, applies legitimate & expert powers, and are goodMach levels, applies legitimate & expert powers, and are good

    at playing politics; showing that they are very powerat playing politics; showing that they are very power--orientedoriented

    managers.managers.

    Their conflictTheir conflict--handling styles are avoiding type which also ishandling styles are avoiding type which also isvery prevalent amongst powervery prevalent amongst power--oriented managers.oriented managers.

    PowerPower--oriented people are generally good at negotiating whichoriented people are generally good at negotiating which

    is evident in this case also.is evident in this case also.

    Although the managers have a considerable amount of powerAlthough the managers have a considerable amount of power& control over their sub& control over their sub--ordinates, they dont use it in anyordinates, they dont use it in any

    adverse way to create any major political conflicts in theadverse way to create any major political conflicts in the

    workplace.workplace.

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    RECOMMENDATIONSRECOMMENDATIONSRECOMMENDATIONSRECOMMENDATIONS

    Reward power can sometimes be used by theReward power can sometimes be used by the

    managers at Emami Ltd. to keep the employeesmanagers at Emami Ltd. to keep the employees

    motivated so that they can perform better.motivated so that they can perform better.

    Collaborating and Compromising conflictCollaborating and Compromising conflict--handlinghandlingstyles can be implemented for creating a healthystyles can be implemented for creating a healthy

    workwork--environment.environment.

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    LIMITATIONS OF THE PROJECTLIMITATIONS OF THE PROJECTLIMITATIONS OF THE PROJECTLIMITATIONS OF THE PROJECT

    The major limitations of this project are listed asThe major limitations of this project are listed as

    under :under :--

    Paucity of timePaucity of time

    Limited Sample Size, the entire c/s of the people in variousLimited Sample Size, the entire c/s of the people in various

    organizations could have strengthened the research.organizations could have strengthened the research.

    Scope of research was limited only to the FMCG industry.Scope of research was limited only to the FMCG industry.

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    BIBLIOGRAPHYBIBLIOGRAPHYBIBLIOGRAPHYBIBLIOGRAPHY

    Literature ReviewLiterature Review

    Powers, Michelle (June23, 2008). Power & Politics.Powers, Michelle (June23, 2008). Power & Politics.

    http://www.associatedcontent.com/article/826311/power_and_politics.hhttp://www.associatedcontent.com/article/826311/power_and_politics.h

    tmltml

    Texas Tech University (August 31, 1998). Power and Politics. DivisionTexas Tech University (August 31, 1998). Power and Politics. Division

    of Outreach and Extended Studies.of Outreach and Extended Studies.

    http://www.depts.ttu.edu/hs/rhim520/htm_files/0012.htmhttp://www.depts.ttu.edu/hs/rhim520/htm_files/0012.htm

    QuestionnairesQuestionnaires

    www.prenhall.com/salwww.prenhall.com/sal -- SELFSELF--ASSESSMENT LIBRARY,ASSESSMENT LIBRARY,

    OrganizationalOrganizational BehaviorBehavior S.P.RobbinsS.P.Robbins

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    THE ENDTHE ENDTHE ENDTHE END