Canadian University Of Bangladesh (CUB)

Master in Maritime Transportation and Logistics

Term Final Exam, September-2022
Course Name: Management and Organizational Behavior
Course Code: MLT-1105
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Name: Mohammad Mohiuddin Siddique

Student ID: 22214008

Part- A
Answer to the Question no-1:
 What are Katz’s three managerial skills and how the importance of these skill changes
depending on managerial level?

Answer:

Business owners are entrepreneurs until they become managers. When they become managers, they
will feel frustrated because they will need to deal with new problems like managerial problems. And
management is not a simple task. It needs knowledge and experience.

 Because of that, there is the existence of hierarchy, organizational structure and possibilities for each
organizational member with adequate knowledge, experience and skills to move from the bottom to the
middle and top level of the managerial pyramid.

What are managerial skills?

 Simply, managerial skills are the knowledge and ability of the individuals in a managerial position to
fulfil some specific management activities or tasks. This knowledge and ability can be learned and
practiced. However, they also can be acquired through practical implementation of required activities
and tasks. Therefore, you can develop each skill through learning and practical experience as a manager.

 When we talk about managerial skills, we talk about the skills of a manager to maintain high efficiency
in the way how his or her employees complete their everyday working tasks. Because of that, managers
will need skills that will help them to manage people and technology to ensure an effective and efficient
realization of their working duties.

 Types of managerial skills

 Robert Katz identifies three types of skills that are essential for a successful management process:

 Technical skills

 Conceptual skills
  Human or interpersonal management skills

Technical skills

As the name of these skills tells us, they give the manager knowledge and ability to use different
techniques to achieve what they want to achieve. Technical skills are not related only for machines,
production tools or other equipment, but also, they are skills that will be required to increase sales,
design different types of products and services, market the products and services, etc.

 Technical skills are most important for first-level managers. When it comes to the top managers, these
skills are not something with high significance level. As we go through a hierarchy from the bottom to
higher levels, the technical skills lose their importance.

 Conceptual skills

Conceptual skills present knowledge or ability of a manager for more abstract thinking. That means he
can easily see the whole through analysis and diagnosis of different states. In such a way they can
predict the future of the business or department as a whole.

Conceptual skills are vital for top managers, less critical for mid-level managers and not required for
first-level managers. As we go from the bottom of the managerial hierarchy to the top, the importance
of these skills will rise.

Human or interpersonal managerial skills

Human or interpersonal management skills present a manager’s knowledge and ability to work with
people. One of the most critical management tasks is to work with people. Without people, there will
not be a need for the existence of management and managers.

These skills enable managers to become leaders and motivate employees for better accomplishments.
Additionally, they help them to make more effective use of human potential in the company. Simply,
they are essential skills for all hierarchical levels in the company.
Of the three skill sets identified by Katz, technical skills are the broadest, most easily defined category.
A technical skill is defined as a learned capacity in just about any given field of work, study, or even play.
For example, the quarterback of a football team must know how to plant his feet and how to position
his arm for accuracy and distance when he throws—both are technical skills. A mechanic, meanwhile,
needs to be able to take apart and rebuild an engine, operate various machinery (lifts, computer-
scanning equipment, etc.), and know how to install a muffler, for example.

Managers also need a broad range of technical abilities. Front-line managers, in particular, often need to
use technical skills on a daily basis. They need to communicate up the chain of command while still
speaking the language of the workers who are executing the hands-on aspects  of the industry. A
technical skill for a front-line manager might include a working understanding of a piece of equipment:
the manager must be able to coach the employee on its operation, but also be able to explain the basic
functions of the machinery to upper managers. Managers in other corporate roles and at higher levels
also require technical skills. These can include office-based competencies such as typing, programming,
website maintenance, writing, giving presentations, and using software such as Microsoft Office or
Adobe.

Conceptual skills are also crucial to managerial success. Conceptual skills enable one to generate ideas

creatively and intuitively and also show comprehensive understanding of contexts or topics. Conceptual
skills tend to be most relevant to upper-level thinking and broad strategic situations (as opposed to
lower-level and line management). As a result, conceptual skills are often viewed as critical success
factors for upper-managerial functions.

The key to this type of skill is conceptual thinking. Although conceptual thinking is difficult to define, it is
generally considered to be the ability to formulate ideas or mental abstractions. When combined with
information and a measure of creativity, conceptual thinking can result in new ideas, unique strategies,
and innovative solutions. While all levels of management benefit from conceptual thinking, upper
management spends the most time with this mindset, since it is largely tasked with identifying and
drafting a strategy for the broader operational and competitive approach of an organization. Because
this kind of strategic planning includes generating organizational values, policies, mission statements,
ethics, procedures, and objectives, upper managers need to possess strong conceptual skills.

While upper management may use the conceptual skill set most, middle managers and front-
line managers must also both understand and participate in the company objectives and values. Of
particular importance is the ability to communicate these critical concepts to subordinates and decide
which information to convey to upper management.

Tracking and collecting the results of conceptual thinking are parts of a feedback loop. Conceptual skills
are important in empowering managers in all levels of an organization to observe the operations of an
organization and frame them conceptually as an aspect of that organization’s strategy, objectives, and
policies. Conceptual thinking allows for accurate and timely feedback and organizational adaptability.

The development of human skills—a combination of social, interpersonal, and leadership skills—is
central to the success of any manager.

Over the years, the conventional definition of management has become less specific, as managerial
functions can include staffing, directing, and reporting. Modern companies have fewer layers of
management, as these companies now tend to delegate (rather than concentrate) responsibilities and
authority to achieve goals. As a result, businesses often expect managers to lead or guide people, rather
than giving out instructions for every action or task. The ability to lead people is therefore  a central
component of human skills.

Realistically, most organizations need managers who can view their teams analytically and objectively,
evaluate inefficiencies, and make unpopular choices. However, it’s misguided to think that a manager
has to be distant from or disliked by subordinates to execute these responsibilities. Creating a healthy
work environment that’s conducive to development, constructive criticism, and achievement simply
requires strong human skills—especially in the realm of communication.

Good managers understand not only what they are trying to say but also the broader context and
implications of saying it. A sender communicating a message to a receiver is not simply transmitting
factual information. Other dimensions of the exchange are just as important: empathy, self-reflection,
situational awareness, and charisma all play integral roles in communicating effectively and positively.

The degree to which each type of skill is used depends upon the level of the manager’s position as seen
in Figure 1. Additionally, in an increasingly global marketplace, it pays for managers to develop a special
set of skills to deal with global management issues.
In sum, technical, conceptual, and human skills are all needed to be an effective manager. As a manager
moves up the organizational ladder, he or she may find that success requires fewer or different technical
skills and a heavier reliance on interpersonal and human skills.

Part- B
Answer to the Question no-4(i)
i) Merits and demerits of external recruitment

Advantages of External Recruitment Disadvantages of External Recruitment

Process Process

Increased chances A limited understanding about the company

Fresher skill and input Higher risk

Qualified candidates Time consuming

Better competition High costs

Generation of creative ideas Internal disputes with existing employees

Lesser internal politics Issues of Maladjustment

Better growth Agencies are not trusted

Competitive spirit Invites unsuitable applicants

Being fair Legal risks

Ideas from other industries Varied category of applicants can be met

Advantages of External Recruitment Process:

In an external recruitment process, the company posts a job and invites different candidates suitable for
the job outside the company.

In this decision of hiring a candidate outside the company, the employer takes up the responsibility of
finding a candidate who is capable of handling the duty and responsibility of the job posted.

Following mentioned are a few advantages of the recruitment process,

1. Increased chances:

In this increased chance, the company receives a variety and number of candidates who owns
knowledge and ability to handle that job.
If the company enters a selection procedure with external recruitment, then there are increased
chances of finding a suitable candidate for the job.

This increased chance provides better availability of skilled and qualified employees for the company by
using the external recruitment method.

2. Fresher skill and input:

When a company goes with an external recruitment method, there is a quite better possibility of finding
and identifying a fresher candidate who is capable of delivering new skills and inputs for the betterment
of the company.

Therefore, hiring a candidate with external recruitment makes things clear and better for the company
who is in desperate need of fresher skills and inputs for the overall growth of the company.

3. Qualified candidates:

Nowadays, when a company posts an advertisement in social media or newspaper. One common thing
they look for is a well experienced and qualified candidate.

With external recruitment advertising, the company can find a variety of qualified candidates for the
post offered. And eventually, this process helps to identify the best candidates in a lot of skilled
candidates.

4. Better competition:

In the external recruitment process, there will be a chance of facing better competition in terms of hiring
new talent.

Most of the time some of the company looks for candidates who are capable of handling a certain
skilled job and some of them search those candidates who are better with their risk-taking ability.

This is how the company meets those two types of characteristics of candidates in the same interview
process.

5. Generation of creative ideas:

Most probably when the company is in need of those candidates who can provide creative ideas for the
growth of the company, then the company needs to go with an external recruitment process for the
overall development of the company.

Therefore, once the company understands the working nature of external recruitment then there is a
possibility that the company might select a candidate with new and better creative ideas.

6. Lesser internal politics:

In the external recruitment process, there is a very less possibility that the candidate might  face internal
politics of existing candidates. And these lesser internal politics avoids a number of internal issues and
requests of the existing employees of the company.

Once the candidate is selected, then the company can be aware of all the  political and internal
disputes of the company as well.
Therefore, it is a process with a high potential candidate who is capable of handling any type of situation
in the company.

7. Better growth:

By using an external recruitment process, the company can expect growth not just for the candidate, but
actually, the company can expect it for itself also.

When a company selects a candidate with high potential, then there is a higher possibility of the overall
growth of the company. The employees within the organization also broaden their capacity and may try
to match with the new talent.

Therefore, external recruitment holds on to the objective where it handles the selection procedure
sorting by finding a skilled and qualified candidate for the position offered.

8. Competitive spirit:

When employees are recruited through external recruitment, there whirls a competitive spirit in the
organization amongst the employees. They present themselves to be competitive with full enthusiasm
to work and match with the new employees.

A healthy competition takes place between the internal and external employees and employees become
efficient and trained.

9. Being fair:

External recruitment paves way for a fair means of recruitment. Since the competition is open and wide,
there is more opportunity for candidates where they can apply for vacant positions in organizations.

The recruitment is done in a fair manner equally for all candidates where internal politics is avoided.

10. Ideas from other industries:

Another smart factor that can be observed from candidates recruited from external recruitment is that
they offer unique and new ways that are followed in the competitor or other companies they worked
for.

The organization can gain insight into various other aspects of other industries by means of external
recruitment.

Disadvantages of External Recruitment Process:

These disadvantages of external recruitment make a clear distinction between its limitations and it will
also provide beneficial knowledge about the techniques of an external recruitment process.

1. A limited understanding of the company:

When a candidate is selected from an external recruitment process, there is a possibility that the
candidate might have less chance of understanding the environment of the company. And this lesser
understanding can make a big difference in the future activities of the company.
Therefore, there is some sort of issues with an external process which needs to be rectified for a better
understanding of the company environment.

2. Higher risk:

There is a possibility that the candidate selected for the post is not worthy of the position offered and
he/she can take advantage of their position in the company.

This type of risk is very much common in an external recruitment process as most of the candidates
applied for the job are total strangers to the company. And that is why it is considered one of the higher
risk processes of recruitment.

3. Time-consuming:

The main disadvantages of external recruitment are that it is time-consuming as most of the companies
post an advertisement for their company recruitment drive.

Then there is a quite possible chance of receiving a higher number of applicants for the post and the
recruiter need to be very careful with their decision of selecting the best candidate for each round
selection process.

These different rounds of selection take a bit longer than the internal recruitment process as it involves
a number of processes.

4. High costs:

As most part of the external recruitment process mainly deals with complete new candidates then the
company needs to come up with a pay scale for that candidate which should value his/her skill and
ability.

This can turn things a bit costly for the company as they are in need of new ideas and to get such new
and creative ideas from the potential candidate. The company needs to provide him/her with the best
possible deal to refuse.

With all these aspects, the company needs to provide intense training for the candidates. Screening a
large number of candidates consumes more money.

5. Internal disputes with existing employees:

When a company considers a fresh candidate for the higher post than the existing candidates, then
there is a higher possibility that the company existing employees might show some sort of internal
dispute among the officials of the company.

This kind of internal dispute can lead things to a completely different level. And eventually, the company
can fall on their back with such differences of opinions.

6. Issues of Maladjustment:

There are a number of possible ways where the new employee recruited may not adjust to the new
environment. They also would not adjust with the new employees in the organization.
When such scenarios take place, they have to leave the organization or the management should take
initiatives to replace them. By this way, the management may lose good employees and need to hunt for
another.

7. Agencies are not trusted:

By recruiting candidates through external recruitment, recruitment agencies play a role where they do
not have adequate knowledge about the culture of the organization and their intrinsic qualities. They
also do not care much about the key requirements of the post.

8. Invites unsuitable applicants:

External advertising methods are something that happens in large scale through print media and hence
a large number of applicants who are not fit for the job post are drawn in. There are a number of
unsuitable candidates who line up for low-level job positions.

9. Legal risks:

There are chances for legal issues when external recruitment is carried on. When hiring intact teams,
top hiring talents are recruited with non-compete recruitment which may lead to legal issues.

10. Varied category of applicants can be met:

When external recruitment is considered, there is a large pool of applicants who are met. Applicants
with varied experience, background, skills, and abilities are met.

Since there is abundant talents met, picking the right candidate can be muddling. In this way, new
decision making and planning aspects can be discovered.

These are a few hints which mention the advantages and disadvantages of external recruitment.
Employees and employers must make sure that there are good and bad aspects when external
recruitment is considered.

All the negative hints can be made positive by talking about a few steps of the external recruitment
process and working towards it. Disputes come to an end when every factor is viewed in a positive
manner.

External candidates are beneficial in a number of ways as they make the company productive with their
talent and skills.

With external recruitment, the organization is able to develop a diverse team wherein there are new
talents and skills who work together. Employees work together to achieve the goal and objective of the
organization unitedly.

Employers and employees must welcome external recruitment in their organization and make it a
practice in the company’s recruitment process.

Managers could have provided necessary training for necessary skill enhancement for making Nancy
capable of the position of Senior Superintendent rather than hiring Paul as an external recruitment. The
managers could also initiate succession planning in the organization for making employees competent
enough to fill up any vacant position if any employee leaves the organization.

Answer to the Question no-4(ii)

ii) Using Expectancy Theory of Motivation, we can motivate both Nancy and Paul.

The first question is whether the person believes that high levels of effort will lead to outcomes of

interest, such as performance or success. This perception is labeled expectancy. For example, do you
believe that the effort you put forth in a class is related to performing well in that class? If you do, you

are more likely to put forth effort.

The second question is the degree to which the person believes that performance is related to

subsequent outcomes, such as rewards. This perception is labeled instrumentality. For example, do you
believe that getting a good grade in the class is related to rewards such as getting a better job, or gaining

approval from your instructor, or from your friends or parents? If you do, you are more likely to put
forth effort.

Finally, individuals are also concerned about the value of the rewards awaiting them as a result of
performance. The anticipated satisfaction that will result from an outcome is labeled valence. For

example, do you value getting a better job, or gaining approval from your instructor, friends, or parents?
If these outcomes are desirable to you, your expectancy and instrumentality is high, and you are more

likely to put forth effort.

  Expectancy: Can I do it? If I try harder, can I really achieve this number? Is there a link between
how hard I try and whether I reach this goal or not? If you feel that you can achieve this number
if you try, you have high expectancy.

 Instrumentality: What is in it for me? What is going to happen if I reach 300? What are the
outcomes that will follow? Are they going to give me a 2% pay raise? Am I going to be named
the salesperson of the month? Am I going to receive verbal praise from my manager? If you
believe that performing well is related to certain outcomes, instrumentality is high.

 Valence: How do I feel about the outcomes in question? Do I feel that a 2% pay raise is
desirable? Do I find being named the salesperson of the month attractive? Do I think that being
praised by my manager is desirable? If your answers are yes, valence is positive. In contrast, if
you find the outcomes undesirable (you definitely do not want to be named the salesperson of
the month because your friends would make fun of you), valence is negative.

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