After the employee has been selected and recruited, the problem of placement arises. Placement refers to the task of assigning specific job to employees. Correct placement is in no way less important than accurate selection. Even a competent employee may be inefficient and dissatisfied if put on a wrong job.

Correct placement helps to improve efficiency and satisfaction of employees. It is proved by experience that placement of an employee in the

right job results in improvement of morale and performance, reduces absenteeism and employee-turnover, leads to better utilization of machines, equipments and materials and keeps the employee satisfied. While placing employees on jobs, the requirements of both the organization and the employees should be considered.

A good and effective system of follow-up helps to avoid wrong placement. That is, follow-up is a process in which the work of the employee is assessed at frequent intervals and the performance is recorded in his service record.

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This will help the management to locate cases of wrong placement and to take corrective action by way of transfers. Supervisors can do much in locating the wrong placements.

A proper placement of employee results in the following:

1. Better motivation resulting in better performance.

2. Lower rate of absenteeism.

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3. Lower rate of labour turnover.

4. Better utilization of materials and machines.

5. Reduced cost of supervision.

6. Keeps the employee satisfied, etc.

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Promotion

The word promotion means shifting a worker to higher post with more responsibilities and higher salary. There is a change in the designation and in the status. Upgrading or promotion systems are used to reward the employees for their better service. Upgrading of salary, without the corresponding changes in the post means higher grade of salary for the existing work.

The annual increment is not a promotion. Promotion must involve changes in the status. Promotion means filling higher posts with the junior workers instead of taking fresh hands. And of course, it is a good system to create a healthy atmosphere in the organization, and this every worker does his best for the promotion.

The term promotion denotes the idea of advancement of an employee to a higher job with more emoluments and prestige, higher status and higher responsibility. If higher posts are filled up by promoting the existing employees, the morale of employees will be high, they will be loyal to the concern and they can put in their best.

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On the other hand, if the higher posts are filled from outside sources, the employees would become dissatisfied and they get frustrated and lost all interest in the concern. The dissatisfied employee is a source of trouble to the management and he will disrupt the normal functioning of the organisation.

Further, he will encourage the other workers to follow his path. Hence every concern needs a systematic programme of promotion. A sound promotion policy should, therefore, be based on both seniority and ability. It should primarily be based on the merit of the worker, due weight age being given to seniority or length of service.

A happy blend of both criteria maintains employee morale; at the same time it encourages the employees to give better performance.

Basis of promotion

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1. Seniority of service

2. Ability

3. Loyalty

4. Education

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Transfer

Transfer refers to the movement of an employee from one job to another within the organization without involving any significant change in the emoluments and status. Though there will not be change in the general nature of work, there may be some change in its specific nature. Transfer may be beneficial to both the employer and employees. Reasons for transfer may be:

1. Expansion or contraction of business.

2. A shortage of man with a particular skill or ability in one department or plant.

3. Improper initial placement.

4. Change in employee’s interest or capacity, etc.

5. To meet contingencies of absence, leave etc.

Morale

Morale is a mental condition or attitude of individuals and groups with determines their willingness to co-operate. It is the attitude that creates a feeling of enthusiasm and happiness during and after working hours. It is sometimes defined as moral condition of an individual as regards discipline and confidence in relation to his job.

For some people, it includes the mental and emotional feeling of an individual regarding the tasks expected of him, for still others, morale may mean personal acceptance of group goals.

In relation to job, morale may be defined as the extent to which an individual perceives satisfaction of his needs as they stem from his total job situation. A few definitions of the term ‘morale’ may be noted:

1. “Morale may be defined as the collective attitude of workers towards one another, towards their employer, the management or their work.” J.C. Denyer

2. “Morale has been defined as an attitude of mind which conditions how well or how badly duties are performed.” W.H. Walley

3. “Morale is the capacity of group of people to pull together persistently and consistently in pursuit of a common purpose.” Dr. Leighton

4. “Morale means the co-operative attitude or mental health of a number of people who related to each other on some basis.” Spreigel

5. “Morale represents the attitude of individuals and groups towards their work environment and towards their voluntary co-operation to the full extent of their ability in the best interest of the organisation.” Keith Davis

6. “Morale is mental condition or attitude of individuals and groups which determines their willingness to co-operate. Good morale is evidenced by employee enthusiasm, voluntary conform once to regulations and orders, and the willingness to co­operate with others in the accomplishment of organisation objectives.

Poor morale is evidenced by surliness, case of insubordination, discouragement and dislike of job, company associates.” Edwin P. Flippo.

An analysis of the above definitions clearly indicates that morale is the enthusiasm and willingness or readiness with which the individual members of a group set out to accomplish the task given to him. Industrial morale has also be described as the “since of feeling by an employee, of being accepted and belonging to a group, of employees through adherence to common goals and confidence in the desirability of these goals.”

Morale of an employee is a collection of attitude, feelings and sentiments towards his employer and also his willingness to strive for the attainment of goals of a particular group of organization to which he belongs. High morale encourages effective work and low morale tends to poor work.

High morale is associated with less industrial troubles and less complaint of disobedience, good feelings among the workers, fewer strikes and lock-out etc. They are in reverse with the low morale workers.

Prof. Jucius observes, “Definitions of morale are many, a review of them all would show that they define it in terms of what it is, what it does, where it resides and whom it affects and what affects.” Thus morale is composed as follow:

1. What it is? – An attitude of mind, an esprit de corps, a state of well (or unwell) being and an emotional force.

2. What it does? – Affects output, quality, costs, discipline, enthusiasm, co-operation and other aspects of success.

3. Where it resides? – In the minds, attitudes and emotions of individuals and groups.

4. Whom it affects? – Immediately employers and executives and ultimately the customer and the community.

5. What it affects? – Willingness to work and co-operate in the best interests of the enterprise.

Morale should be distinguished from motivation. The two concepts are inter-related but differ from each other. Morale is composite of attitudes and feelings whereas motivation is the process of inspiring people. Morale is a group phenomenon while motivation is basically an individual’s willingness to work.

Morale indicates predisposition towards all aspects of work but motivation is basically predisposition towards the job itself. Morale is a function of group relationships. On the other hand, motivation is a function of needs and incentives. Morale is concerned with the mobilisation of sentiments while motivation is concerned with energy mobilisation.

Morale is the indicator of the attitude of employees towards their jobs, superiors and the organisational environment. Employees with high morale like their jobs and co-operate fully with the management towards the achievement of organisational objectives.

High morale is key to proper action by the employees. It keeps the office running smoothly by bringing efficiency and economy in office operations. Low morale refers to a reverse situation, that is, low morale might well lead to the following consequences:

1. Frustration of employees.

2. Excessive complaints and grievances.

3. Friction among the employees.

4. Low productivity.

5. Increased rate of absenteeism.

6. High labour turnover.

7. Waste of materials.

8. Unnecessary disputes over discipline.

9. Creation of resistance groups.

10. Failure to co-operate with management.

To improve the morale:

1. To create good feelings among the workers and a healthy atmosphere in the firm, the management must promote a high morale in workers.

2. To create harmony among the workers, weekly staff conference may be conducted and everyone will be given a chance to express his feelings,

3. Proper placement is necessary. When a man is not interested to do a particular work, he will be allowed to do the job which he likes.

4. Worker will be allowed to meet his superiors whenever he needs.

5. Workers must be protected from accidents and diseases.

6. Promotion, transfer, demotion, etc., must be dealt with properly.

7. Settling grievances, facilitating employee-management collaboration, contact with employees union ensuring the co-operation between the workers and the management etc., must be permissible.

Factors Determining Morale

Morale factors are those that affect or influence personnel interest of individuals in relation to their organisation. Any factor which tends to produce favourable attitudes among employees towards organisation and its management is a moral stimulant. On the other hand, any factor that tends to produce unfavourable attitude is a moral depressant.

Morale Stimulants: Davis outlines the following factors to be the most usual moral factors in any business organisation:

1. Worthwhile Objectives those are compatible with public interests as well as personnel interests of organisation.

2. Good leadership is based on a sound philosophy of managements.

3. Homogeneity of group characteristics and interests.

4. Symbolism and a degree of identity of organisation and personnel interest.

5. Decentralization and delegation of responsibility and authority.

6. Good Techniques used for handling men, including those for order giving and disciplinary action.

7. Individual and group opportunities, including financial and non-financial incentives.

8. A satisfactory physical work environment.

9. Training, education and indoctrination.

10. Organisational confidence based on equity as well as material success.

Morale Depressants: B.H. Walley lists out the following factors to be the morale depres­sants:

1. Salary:

(a) Low salaries compared with other departments, other companies in the same area, or other companies in the same industry.

(b) Disproportionate salaries for effort and responsibility.

2. Promotion prospects:

(a) Apparent lack of promotion prospects.

(b) Promotion of ‘wrong’ people (favoritism)

3. Supervisory problems:

(a) Dislike of supervisors.

(b) Absurd disciplinary actions for minor infringements of discipline by supervisor.

(c) Lack of leadership and decision taking.

(d) Supervisors who do not know their job.

4. The job:

(a) Muddle in handling work.

(b) General lack of efficiency in the office.

(c) Insufficient work to keep clerks busy.

(d) Wrong kind of work-clerk either over or under qualified to handle the job.

5. Working conditions:

(a) Poor office environment.

(b) Sub-standard office equipment desks, chairs, lighting etc.

6. Management and the worker:

(a) Badly organized company, dual reporting.

(b) Lack of knowledge of what is going on in the company.

(c) Feeling of isolation: sense of being ignored.

7. Personal factors:

(a) Wrong size of working group.

(b) Inability on the part of the clerk to fit into the team.

(c) Personality factors which affect others in the office.

8. General:

(a) Irritating and petty regulations.

(b) Badly introduced changes in the company.

Morale and Productivity

It is generally assumed that morale is directly related to productivity of the employees. If the morale of the employees is high, it would automatically, lead to higher productivity and conversely if the morale is low, the productivity of the employees will be less.

According to Koontz and Donnell,” There is evidence from the long experience of many managers that morale does materially influence productivity.” The following suggestions may be followed in order to improve morale in the organization:

1. Evolving of an effective system of two-way communication.

2. Keeping the employees informed about organisation policies and inviting their comments there on.

3. To provide suitable job incentives relating to job, security, working conditions, opportunity for promotion, benefits, social status etc.

4. Making provision of welfare amenities like health, recreation, housing accommodation, medical facilities etc.

5. Encouraging workers participation in management.

6. Analysing and removing the cause of workers’ dissatisfaction in the organisation, if any.

7. Encouraging group activities by the employees, like sports, social get-togetherness, picnics etc.

8. Providing effective grievance settlement machinery within the organisation, to hear, employees’ complaints and to take steps to remove them.