Background

One of the areas of human development is development of executive cadres. This is otherwise called as "management development" or "executive development". Management development is the process of training and development of employees, by which the individuals gain and apply knowledge, skills, insights, styles and attitudes to manage the work in organisations effectively. Managerial development is to improve the employee levels of knowledge, insights, skills and attitudes. It is the program, by which executive's capacities to achieve desired objectives are increased. Hence, this chapter plans to concentrate on skills development and the methods used to develop these managerial skills, particularly decision making skills and interpersonal skills. The chapter ends with Chapter Summary and Chapter-Based Questions.

1. Decision Making Skills

As noted earlier, a skill is an ability or proficiency in performing a particular task. Skill is a practical knowledge in combination with ability, a craft, an accomplishment. A skill is acquired or learnt ability to translate knowledge into performance. It is a competency that allows for supericr performance in the field in which the employee has acquired the ability. A manager needs different kinds of skills. Experts differ as to the number of skills a manager is to acquire. Some are happy with only three, still some insist on five skills. Here, we are considering specific skills, namely decision making, analytical, inter-personal skills.

Decision Making Skills 

We speak of every manager as a decision maker. It is so, because management is the process of decision-making. Whatever the manager does, he does through sound and timely decisions. A decision is an acceptable solution and decision making is the process of reaching a cutoff point. It is a matter of choosing the best alternative solution and it is the quality of decision that determines the degree of effectiveness in terms of soundness and timeliness. A manager's decision making skill lies in a course of action, which is hinged on his analytical ability or critical bent of mind. Poor analytical proficiency is sure to result in inefficient, spotty and semi-baked decisions. 

Decision making, that too sound decision making, is not a child's play. It warrants a series of logical steps, namely, perception and defining the problem, collection of data which are relevant to the problem, diagnosis and analysis of the problem where facts, inference, speculation, assumptions work, then to find the root cause of problem, identifying the resource constraints, development of criteria for successful solutions that generate alternative solutions, evaluation of alternatives and implementing the best alternative and the manager is to have feedback to see how far his decision works. For making sound and timely decision, he uses both quantitative and non-quantitative techniques. His decisions make or mar the fortune of the company. It is the quality of decisions that brings good results, which speak of his strength of mental faculties of sound judgement, vision, clarity of thought and analytical bent of mind.

Analytical Skills 

Analytical Skills play major role in decision making. Analytical skills are more aptly called diagnostic skills. Analytical skill is one that involves use of scientific approaches or techniques to solve managerial problems. That is, analytical skills signify manager's ability to arrive at feasible and optimal solution. In essence, it is the ability of a person to identify the key areas and understand as to how they relate the roles they play in a given situation. To put in other words, analytical skills are to do with the ability to diagnose and evaluate. Here the manager goes to the very root of the problem to identify the causes of the problem, so that solution is real and permanent rather than being mere cosmetic or shorterm. It is the ability to establish cause and effect relations. Diagnostic skills help managers to establish cause and effect relations scientifically. These skills enable the managers to visualize the most appropriate response to a situation. Without analytical proficiency, there is hardly any hope for the long-term success. In short, analytical skills are those abilities that help in proceeding in a logical, convenient, step-by-step and systematic manner to scan the various dimensions of specific estimates involved and to understand complex characteristics of a phenomenon. It is also the ability to break down a problem into convenient components and to critically examine its dimensions in the spotlight. Analytical skills are needed for problem identifying, solving and decision making, to evaluate performance and manage complex situations.

Methods used to develop decision making skills

The methods used to develop decision making skills vary according to experts. However, the most important one are: In the basket, Business Games, Case Studies. Let's have basic knowledge about thee methods.

1. In The Basket Plan

In the basket plan or "in tray exercise" or "business exercises in tray" is very popular device to identify the executive potential in executive assessment centres or the schemes. It is a simulation technique, which can be used as the base of learning decision-making. It consists of series of memos, letters, forms, statements and other paperwork similar to the actual work situation of the trainee. In tray exercise can be done by trainee alone or in pairs. The objective is to put the paperwork in order of priority and state what should happen to each item. In such exercises, there is a time limit to complete and the results are discussed and analysed by the trainer and trainee individually or in group. As a trainee, he is given a role and he is to assume that position as an executive and use all the materials in the basket or box, which gives a problem situation or situations. Thus, how to handle a dismissal case? How to increase sales under falling situations? This kind of training is designed to develop situational judgement, sensitivity and willingness to make decisions.

Merits 

• It develops qualities of leadership

• It develops trainee's abilities on his own

• He learns time management.

Demerits 

• Chances of misinterpretation

• Absence of guide

• It is a costly method.

2. Business Games

Business Games is a simulation model method. A "management-game" or "business game” is a classroom simulation exercise, in which teams of students or trainees compete against each another or against an environment to achieve a given objective or objectives. This implies designing a simulated situation in which decisions are to be made in the light of various events that occur. These decisions are made by competing groups and the decisions are accepted of a winning team. The game is intended to be very close representation of real life situations. Very often, the controlling features of a model game are expressed in the form of a mathematical model.

To take a practical example, there may be three teams representing a company competing in producing and selling the same product in the same market area. Each company is to achieve - good financial position, increase in assets, improve rate of return on investment, build up strong position for the future. As per the plan, each company makes quarterly decisions on product - pricing, advertising, production volume, cost, research and development expenditure, investment in extra plant capacity to increase production capacity. These decisions are fed into the computer that has been programmed with a mathematical model that simulates a typical economic situation in the market. The computer then feeds back each team its own performance data derived from the interaction with the other competing teams. Accordingly, the teams can change their strategies as the game progresses and determine the impact upon the performance of such changes. The decisions or strategies of winning team will be accepted and then explained as to why they were duly accepted.

Merits 

• High degree of involvement

• Low-risk environment learning

• Close alliance between the trainer and trainee.

Demerits 

• Mathematical model is a great hurdle

• Business games are games only

• They are time consuming.

3. Case Studies

Case Studies are based on the principle of teaching those subjects with human affairs. Case studies are extensively used teaching details of law, personnel management, labour relations, marketing, production management and business policy. There are two possibilities of implementing these studies. Either they can be used or given subsequent to the exposition of formal theory in above areas of study including mathematics, where the trainees are to apply their theory and knowledge to specific situations. Or, another way might be the trainees assigned for written analysis and/or oral class discussion without any prior explanation of pertinent concepts of theory.

In other words, the learners are expected to derive useful generalisations and principles on their own. This approach warrants heavy demands on student. It requires that student has a good deal of background work and high level of maturity. That is, case study is a description of a situation which generally takes place in an imaginary organisation and the learner is asked to answer series of questions.

Merits

• Learning by doing

• It develops analytical thinking

• Application of knowledge.

Demerits 

• The trainer has critical role to play

• Matching contents to the work situation

• The danger of frustration.

2. Inter-Personal Skills

Interpersonal skills are also called as "communication" skills. Some people call them as "behavioural" skills. Interpersonal skills are those abilities, which help the managers to understand the people around them and their problems, needs and feelings, to get along with them, to build effective team work, to provide counselling and to resolve conflicts that emerge at any time. These communication skills are very important to interpersonal skills and are basic to all other skills and these are significant and necessary at all the levels of management. A manager having even the very best ideas will have very little impact in case they are not communicated effectively.

Good communication is the bridge of meaning and the foundation of sound management. Sound communication eliminates delays, misunderstandings, confusions, distortions and conflicts and improves coordination and control. All four communication skills, namely writing, reading, listening and nonverbal gestures are significant ingredients of successful leadership. Managers spend considerable amount of time in interacting with people both outside and inside the organisation. This warrants interpersonal skills. As a manager climbs the organisational ladder, he must be able to get along with subordinates, peers and those at higher levels of the organisation. As managers have multitude of roles to fulfil, they should be able to work with people inside and outside the organisation. Though some managers have succeeded with poor interpersonal skills, a manager who has extraordinary interpersonal skills is sure to succeed in an exceeding way.

Methods used to develop interpersonal skills

1. Role Playing

In role playing two or more trainees are assigned the roles to play before the rest of the trainees. Role playing is a simulation in which the trainee is to play a part or role in a problem situation, requiring interaction with others. Basic mental sets are stated for all participants, but no dialogue is provided. Thus, one trainee might be asked to play the role of employee and another the role of departmental manager. The situation they are to act in their roles is that of departmental manager dealing with a disciplinary situation under which the learner wishes to experience the situation in a "safe" environment and draws the learning points from the experience with the trainer and other trainees giving feedback on how the two "actors" dealt with the situation. The event is guided by the trainer, but has high learner participation. The role players neither acted nor have rehearsals. They are provided with either written or oral description of a situation and the role they are to play. As they are given some time to plan their roles, they act spontaneously and on the spot preparation. The typical role situations are supervisor discussing grievance with an employee, a supervisor conducting a post-appraisal interview with an employee, salesman making a presentation to a purchase agent and so on.

Merits 

• Extempore exposure

• It is the best suited leadership training

• It is learning by doing.

Demerits 

• No control over the event and time

• "No acting", "no learning”

• Role of trainer is very critical.

2. Behavioural Modelling

Good many times, this "behaviour modelling" method is confused with "role playing". In fact, behaviour modelling is more structured approach to teaching more specific supervisory skills. This is founded on social learning theory in so far as the trainee is (1) provided with a specific model of behaviour and (2) informed in advance of the consequences of engaging in that type of behaviour.

The behaviour modelling involves certain slops: (1) A conceptual presentation is made in the proper handling of a particular problem. Each key action step is identified and emphasized. (2) A videotape of the effective handling of the problem is presented. Each key action step is performed. (3) A behavioural rehearsal period is then undertaken. Though this may look like "role playing", the trainee is not free to select a response. Rather, he or she rehearses the behaviour presented in the first two steps. (4) During and after the rehearsal period, the trainee is given feedback on performance, and is positively reinforced while demonstrating the behaviour model. (5) Finally, the trainee is encouraged to try the behaviour out in the job and to report back for discussing the results that they try out.

This behaviour modelling is very much useful for solving interpersonal problems or problem areas as giving recognition to an employee, handling a complaining employee, stimulating acceptance of proposed changes, conducting a performance appraisal, and inducting a newly hired employee. In handling interpersonal problems, the fundamental approach to all such situations involves : (a) description of the desired behaviour, (b) justification for the need for such behaviour, (c) active listening to employee responses and (d) active involvement of the employee in the solution.

Merits 

• It prepares for a model behaviour

• There is no much waste of time and efforts

• The trainee is motivated to demonstrate and benefit

Demerits 

• It involves more burden for the trainer

• The trainee may give wrong picture of results

• It is time consuming as it involves good deal of rehearsal

3. Sensitivity Training

"Sensitivity training" or "T-Group" or "Laboratory training" is an experimental method used to bring about change in the behaviour through group process using relatively unstructured face-to-face groups as the major weapon of learning. The main objectives of sensitivity training are to help people to understand themselves better to create better understanding of others to gain insight into group process and to develop specific behaviour skills.

Some people by the very nature are insensitive to the effects of their behaviour upon others, because they do not understand why they feel and act as they do; they really do not know how others feel about them. T-Group programs aim at improving communication skills; they teach the learner as to how to be an active listener - really one learns through listening. They so teach the importance of learnt work. Sensitivity training is carried out in good many ways whose core part is the face-to-face groups, which are instructed. T-Group consists of normally eight to sixteen persons. The group has no leader, no agenda and no stated goals set for the group. The group is left with own devises to develop interaction and on going experiences that serve as the real substance of the learning process. Another possibility is that it might have a trainer and two professional T-Group trainers, where key trainer presents planned activities seeking interaction and the other to simply act as T-Group participants as observers.

Merits 

• It teaches human behaviour

• It teaches as to how to work more effectively as a group

• The emphasis is on gaining better understanding.

Demerits 

• Sensitivity training puts too much stress

• Replacement of sensitivity training by team building or management grid

• The results differ widely

4. Transaction Analysis

As you know one of the major problems in the study of organisational behaviour is to analyze and improve the inter-personal relationships. Transaction Analysis (T.A.) is a technique used to help people better understand their own and other's behaviour, especially in inter-personal relationships. T.A. is a method of analyzing and understanding inter-personal behaviour. T.A. offers a model of personality and the dynamics of self and its relationship to others that makes possible a clear and meaningful discussion of behaviour.

T.A. can be applied to organisations for analyzing inter-personal communication and related to the work of other theories such as Douglas McGregor and Ressis Likert. T.A. is primarily concerned with: 

• Analysis of self-awareness 

• Analysis of Ego states 

• Analysis of transactions 

• Script analysis 

• Games analysis 

• Analysis of life positions and 

• Stroking

Let us know in brief each component.

a. Analysis of Self-Awareness

Inter-personal relationships are composed of inter-self. Self is the core of personality pattern, which provides integration. Self-awareness is a cognitive concept, it describes the self in terms of image, both conscious and unconscious.

b. Analysis of Ego States

The ego plays an important role in human behaviour. An ego state is a pattern of behaviour that a person develops as he or she grows, based on his or her accumulated net work of feelings and experiences. People interact with each other in terms of psychological positions or behavioural patterns known as ego states. Ego states are person's way of thinking, feeling and behaving at any time.

c. Analysis of Transactions

A transaction is a basic unit of social interaction. The heart of transaction analysis is the study and diagramming of the exchanges between two persons. Thus, where verbal or non-verbal stimulus from one person is being responded by another person, a transaction occurs. T.A. can help one to determine which ego state is most heavily influencing one's bahaviour and the behaviour of other people with whom one interacts. According to experts, three types of transactions can take place: (1) Complementary, (2) Crossed and (3) Ulterior.

d. Script Analysis

For a common man in street, a "script" is the text of the play, a motion picture or a radio or TV programme. However, in T.A., a person's life is compared to a play and the script is the text of that play. That is why Shakespeare said, "All the world is a stage. All the men and women merely are players. They have their exits and their entrances. Each man in his time play many parts." A person's psychological script is a life-plan, a drama he or she writes and then feels compelled to line out.

e. Games Analysis

When people fail to get enough strokes at work, they try to do a variety of things. One of these is psychological game. A game is a recurring set of transactions, often repetitions. superficially plausible, with a concealed motivation or more colloquially a service of mores with a share or gimmick. Psychological games prevent people and organisations to become winners. A psychological game is a set of transactions with three features : (1) The transactions tend to be repeated, (2) They make sense on superficial or social level and (3) One or more of the transactions is ulterior.

f. Analysis of Life Positions

In the process of growing up, people make basic assumption about their own self-worth as well as about worth of significant people in their environment. These assumptions tend to remain with the person for life, unless major experiences occur to change them. Combination of assumptions about self and other person is a "life-position". T.A. constructs four possible life positions, namely (1) I am OK, you are OK. (2) I am OK, you are not OK. (3) I am not OK, you are OK. (4) I am not OK, you are not OK.

g. Stroking 

Stroking is an important aspect of T.A. The term "stroke" refers to some kind of recognition to other. Strokes are exchanged whenever two persons interact with each other. The word "stroking" originated from the studies of the needs that babies have for physical affection for complete psychological development. As we grow from infancy into childhood and adulthood, we do not entirely lose our need for stroking. A part of original need for physical stroking seems to be satisfied with symbolic stroking like verbal recognition and eye-contact between the persons.

Experts strongly opine that people need strokes for their sense of survival and well-being on the job. Lack of stroking can have negative consequences both on psychological and physiological well-being of a person. Strokes, in fact, are the basic unit of motivation because: 

1) the quantity and quality of strokes serves as either positive or negative motives for employees. 

2) a good share of satisfaction one gets from work depends on the strokes available from other people. 

3) one can get strokes from activities of the work itself, especially if what one is doing really fits and one can take responsibility for it. 

There are three types of strokes, namely (a) Positive, (b) Negative and (c) Mixed.

Merits of T.A. 

• Improved inter-personal communication

• Rich source of psychic energy

• Understanding the ego states, among others.

Demerits of T.A. 

• It is the toughest of jobs as it is purely psychological

• How a person uses strokes is difficult to read

• It is a time consuming affair.

5. Structured Insight

In an attempt to get some of the values of sensitivity training and role playing without their accompanying costs, trainees have used various instruments to systematically collect data concerning trainee attitudes and values. These are then compared to a model of behaviour in the hope that trainee will develop some insight into make up and implications of their chosen modes of behaviour. In one particular scheme, these assessments are located up on 9 by 9 "managerial grid" (Robert R. Blake and Jane S. Mouton) with concern for people shown on the vertical scale and concern for output on the horizontal. A score of 1 indicates trainee's low concern and a score of 9 indicates high concern. Such assessments are then followed by thorough group discussion of the meaning of the measured location of each trainee, usually with the admonition that the group should move to a more balanced position of equal concern for both people and productivity.

Mr. Chris Argyres suggests the use of another method that provides self-insight into leadership practices of top level executives Executives are first asked to write out description of their espoused theories of leadership, particularly in reference to how they deal with people Second, a tape recording is made of an actual meeting conducted by the executive. In a later gathering of all executives involved in the development program, each is asked to describe the actual theory in use revealed by his or her own tape. In addition, they must do the same for the tape of one other executive in the group. The ensuing discussion involves of comparison of the espoused theory with the theory actually in use as revealed by the two separate tape diagnosis. The goal of this process is to reveal the inevitable difference between stated beliefs and the actual behaviour; to reduce dissonance, one must change either the espoused theory or the theory in use.

Assuming a desire to change behaviour, a specific programme of action is then prepared by each executive. Rather than presenting general resolutions such as “I will be the less autocratic", the executive is asked to specifically indicate what will be said and done in probable situations. Three months later, another tape is made of an actual meeting conducted by the subject executive and this is analysed in a similar fashion to that one described. Any systematic device that furthers understanding of one's actual behaviour in comparison with preferred behaviour can be "structured insight"

The benefits of structured insight are

• Each trainee is to think in his own way and compare with actual standard theory

• The individuality of each is discovered

• The final test reveals where each stands.

The costs are

• It is time-consuming affair

• It is not one-shot instrument

• Very few will attain the structured insight