Steps in New Product Development Process - Management Duniya

Steps in New Product Development Process

Idea Generation: New product development starts with Idea generation. Company typically has to generate many ideas in order to find a few good ones. The sources of new product ideas are born from customer needs & wants, scientists, competitors, sales representatives, dealers, agents, trade persons, top management etc…

Idea Screening: The purpose of idea screening is to create large no.of ideas. The first idea reducing stage is idea screening, which helps to spot good ideas and drop poor ones as soon as possible. Many companies require their executive to write up new products ideas on a standard form that can be required by a new product committee. The write up describes the product, the target market & the competition. It makes some rough estimates of market size, product price, development time & costs & rate of return. The committee then evaluate the idea against criteria. The committee asks questions as is the product truly useful to the consumer & society? Is it good for our particular company?  Do we have the people skills & resources to make if succeeded? Is it easy to advertise & distribute? Many companies have well designed system for rating & screening new product ideas.

Concept Development & Testing: A detailed version of the new product idea stated in meaning full Consumer term.

Concept Testing: Concept testing calls for testing new product concepts with groups of target consumers. The concepts may be presented to consumers symbolically or physically.

After being exposed two concepts consumers may be asked to react to it by answering questions such as

Do you understand the concept?

What are the benefits?

What improvements in the features

What is the reasonable price?

Would you buy such type of Product?

Marketing Strategy: Suppose Toyota find new concept and tests are success. The next step is marketing strategy development designing an initial marketing strategy for introducing this car to the market. The marketing strategy statement consists of three parts. The first describes the target market, the planned product positioning & the sales, market share & profit goods for the first few years.

The second part of the marketing strategy statement out lines to product planned price, distribution & marketing budget for the 1^st year.

The third part of the marketing strategy statement describes the planned for  long term sales, profit, goals & marketing mix strategy.

Business Analysis: Once management has decided on its product concept & market strategy, it can evaluate the business attach fineness of the proposal.

  It involves a review of the costs & profit projections for a new product to find out whether these factors satisfy the company Objectives. If they do the company can move to the product development.

To estimate sales, the company might look at the history of similar products & conduct surveys of market opinion. After preparing the sales forecast management can estimate to expected costs & profit for the product, including marketing, R&D, manufacturing, Accounting & finance costs.

Product Development: If the product concept passes the business test it moves in to product development. Here R&D or engineering develops the product concept in to physical product.

Developing the product concept in to a physical product in order to assure that the product idea can be turned in to a workable product.

Test Marketing: The stage of new product development in which the product & marketing programs are tested in more realistic marketing settings. Test marketing gives the marketer experience with marketing the product before going to the great expense of full introduction. It lets the company test the product & its entire marketing program, positioning strategy, advertising, distribution, pricing, branding & packaging & budgets levels.

 When using test marketing consumer products companies usually choose one of three approaches.

Standard Test Markets: Using this test market, the company finds a small no.of representative test cities, consumer and distributor surveys & other measures to gauge product performance. The results are used to forecast national sales & profits discover potential product problems & fine time to marketing program.

Controlled Test Markets: Several research firms keep controlled panels of stores that have agreed to carry new products for a free controlled test marketing system.

Simulated Test Markets: Companies can also test new products in simulated shopping environment.

The company or research firm shows ads & promotions for a variety of products including the new product being tested to sample consumers. It gives consumers a small amount of money & invites them to a real & laboratory store where they may keep the money or use it to buy items. The researchers note how many consumers buy the new product & competing brands. The researches then ask consumers the reason for their purchase or non purchase some weeks later, they interview it consumers by phone its determine product attitudes, usage, satisfaction & repurchase intention.

If the results are very poor, the product might be dropped or substantially redesigned & retested.

Commercialisation: Test marketing gives management the information needed to make a final decision about whether to launch the new product. If the company goes ahead with commercialisation to introduce the new product in to the market, it will face high cost. The company will have to build or rent a manufacturing facility. It may have to spend lot of money for advertising sales promotion & other marketing program efforts in the first year.

The company launching a new product must first decide on introduction timing, next company must decide where to launch the new product in a single location, a region, national market or international market.

For Steps in New product development process chart please click here

Source: Books & Notes

Tags: Consumer Behaviour, Consumer Buying Bahviour, consumers market, Human Resource, Indian consumer, Management, Marketing Management, MBA Career, MBA Finance, MBA Management, MBA Marketing, MBA Notes, MBA Projects, New Product Development, Organisation, organisational Behaviour, PRODUCT, Steps in New Product Development Process
By: Management Duniya

Steps in New Product Development Process. - Management Duniya

Steps in New Product Development Process.

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By: Management Duniya

NEW PRODUCT DEVELOPMENT PROCESS - Management Duniya

NEW PRODUCT DEVELOPMENT PROCESS

Companies must develop a steady stream of new products and services because of the rapid changes in consumer. (Tastes, technology & Competition)

A firm can obtain new products in two ways

Acquisition by buying a whole company, a patent or a license to produce someone else’s product, the other is through new product development.

New Product Development:

It is the development of original products, product improvements, product modifications & new brands through firm’s own R&D efforts.

Reasons to failure of a new product

The market size may be over estimated.

The actual product cost not designed so well

It was incorrectly positioned in the market.

Price is too high.

Poor Advertisement

Poor Marketing Research

Bad timing of introducing a new product

Failure of product to fill the customer needs

Technical & Production Problems

Too many products (New) entering in to the market

Failure to estimate the strength of the competitor

Product problems & its defects

Failure to recognise rapidly changing marketing environments

 To create successful new products a company must understand its consumers, market , competitors and develop products that deliver superior value to customers.

The success of new product depends on systematic new product development process is require for finding & growing a new product.

Source: Books & Notes

Tags: Consumer, Consumer Behaviour, Consumer Buying Behaviour, finished products, Human Resource, Human Resource Management, Marketing Strategies, MBA Career, MBA Exam Study material, MBA internet materail, MBA Notes on Internet, MBA on Internet, MBA Projects, New Product, NEW PRODUCT DEVELOPMENT PROCESS, Organisation, organisational Behaviour, Product Development, Product display contests, purchase department, purchase order, Purchase Power, purchase price, purchasing strategies, semi-finished products
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Product Mix Decision - Management Duniya

Product Mix Decision

Product Mix Decision:

The set of all product lines & items that a particular sellers offers for sale.

A company’s product mix has four important dimensions i.e. Width, Length, Depth and Consistency.

Product Mix Width: It refers to the total no.of different product lines the company carries. Ex: AVONs product mix consists 4 major product lines. Cosmetics, Jewellery, Fashion, Household Items etc…

Product Mix Length: It refers to the total no.of items the company carries in its product line.

Ex.

Co. Name: AVONs;    Line: Cosmetics;  Items: Lipstick, Powder, Eye Liner and Nail Polish.

 Product Line Depth: It refers to the no.of versions offered of each product in the line. Ex. P&G crests tooth paste comes in three types Paste, Gel, Herbal .

Product Mix Consistency:  It refers to how closely relate the various product lines are in end use. Product on requirements, distribution channels or some other ways. Ex. P& G product lines are consistent in so far as they are consumer products that go through the same distribution channels.

 

Source: Books & Notes

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By: Management Duniya

Product Line Decision - Management Duniya

Product Line Decision

Product Line Decision: A group of products that are closely related they function in a similar manner are sold to the same customer group are marketed through the same type of out lets fall within given price ranges.

The company must manage it product line carefully. It can systematically increase the length if its product line in two ways.

Line Stretching

Line Filling

Line Stretching: It occurs when a company lengthen its product line beyond its current range. It may be in 3 ways Downward, Upward and Both Directions

Line Filling: Adding more items with in the present range of the line.

Source: Books & Notes

Tags: Consumer Behaviour, Consumer Buying Behaviour, finance, Financial management, Human Resource Management, Indian consumer, Management, Management Accounting for MBA, Marketing, Marketing Management, MBA, MBA Career, MBA Marketing, MBA project, MBA Projects, Organisation, organisational Behaviour, Product Line Decision
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Industrial Products - Management Duniya

Industrial Products

Products bought by Industrial & organisations for further processing or for use in conducting a business. Industrial products can be classified in to 3 goods.

Raw material & Parts

Capital Items

Supplies & services

 Raw material and Parts: Raw Material consist of form products (wheat, cotton fruits & vegetables etc…) and natural products (Crude oil, Iron, Ore).

Capital Items: Capital Items are industrial products that are in the buyers production operations including installation & accessory equipment. Installation consists of major purchases if such as building, factories, offices & fixed equipments. (Generators, Large computer system etc…) Accessory includes affordable factory equipment & tools (Lifts, Trucks) & office equipment (Fax Machines, Desks)

Supplies & Services: The final group of business product is supplies & services. Supplies include operating supplies (Lubricant Oil, coal, Stationery etc…) & repairs & maintenance items (Paint, broom & etc…)

Source: Books & Notes

Tags: Buying Behaviour, Capital Items, Consumer Behaviour, Consumer Buying Behaviour, Consumer Buying process, finance, Financial management, Human Resource, Human Resource Management, Industrial Products, Management, Marketing Management, MBA Accounting, MBA Career, MBA Finance, MBA Marketing, MBA Notes, MBA Part Time, MBA Part Time Jobs, MBA project, MBA Projects, Organisation, organisational Behaviour, Raw material and Parts, Supplies & Services
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Product Classification - Management Duniya

Product Classification

Product & services fall in to two broad classes based on the types of consumers that use them.

Consumer Product

Industrial Product

Consumer Product:

Consumer Products are those bought by final consumers for personal consumption.

Marketers usually classified these goods based on how consumers go about buying them. Consumer product includes convenience Product, Shopping Product, Special product.

 Convenience Product: Consumer product that the consumer usually buys, frequently, immediately and minimum of comparison & buying effort. Ex: Soaps, New papers etc…

Shopping Product: Consumer goods that, the customer in the process of selection & purchase characteristically compares on such habits as suitability, quality, price & style.

Ex. Furniture & clothing

Special Product: Consumer with unique characteristics or brand identification for which a significant group of buyers are willing to make a special purchased effort. Ex. Car, Luxury Goods etc…

Source: Books & Notes

Tags: Buying Behaviour, Consumer Behaviour, Consumer Product, convenience Product, finance, Financial management, Human Resource, Human Resource Management, Industrial Product, Management, Marketing Management, MBA Career, MBA Finance, MBA Marketing, MBA Notes, MBA project, Organisation, organisational Behaviour, organisational Theory, Product Classification, PRODUCT MANAGEMENT, Shopping Product, Special product
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PRODUCT MANAGEMENT - Management Duniya

PRODUCT MANAGEMENT

PRODUCT MANAGEMENT:

Product: Anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need.

Levels of Product: Product planners need to think about products and services on 3 levels.

Core Product

Actual Product and

Augmented product.

Core Product:

The most basic level in the core product which address the question what is the buyer really buying as shown in the above figure the core product ends at the centre of the total product. It consist of the core problems following benefits that consumer seeks when they buy a product or service. Ex. A woman buy lipstick buys more than lip colors.

Actual Products:

The product planners must next build an actual product around the core product. Actual product consists of 5 characteristics i.e. quality, Features, Designs, Branding and Packaging.

Ex: A sony TV is an actual Product. It name, parts, styling, features, packaging & other attributes are combined, carefully to deliver core benefit.

Augmented Product: Finally the planner must built an Augmented product around the core & actual product by offering additional consumer service benefits.

Ex: After sale:  service, warranty, delivery and credit.

Source: Books & Notes

Tags: Actual Produc, Augmented product, Consumer, Consumer Behaviour, Core Product, finance, Financial management, Human Resource, Management, Marketing, Marketing Management, MBA Career, MBA Finance, MBA HR, MBA Marketing, MBA Notes, MBA Projects, Organisation Behaviour, organisational Behaviour, PRODUCT MANAGEMENT
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Difference between Consumer and Organisational Buying Behaviour - Management Duniya

Difference between Consumer and Organisational Buying Behaviour

Difference between Consumer and Organisational Buying Behaviour:

There are no.of reasons that can be identified to differentiate the process of buying for an individual consumer and Industrial consumer.

Organisations buy products in to services to reach their organisational goals. These goals should be profit maximisation, cost reducing, meeting employee needs and satisfy legal obligations. Therefore organisations are more rational during the purchase; however individuals by goods & services for their own satisfaction & other factors could influence the buying behaviour to very small extent. Hence, consumer buying process could be more spontaneous.

 More people are involved any organisation buying. There may be wide range of influences in the decision making process which could be from the various levels in the organisation. In consumer buying behaviour also they exists many roles played by different individuals. However, the extent or degree of people participation is very less in individual buying process.

  Organisation purchases are more likely to be based on formal routing like purchasing policies, constraints & requirements established by the organisations. This is not applicable to individual purchases and hence is more informal.

The poor performance of a product might cause annoyance to a customer & may not result in the repurchase of the same product. But in case of business buyer it could need to financial loss non achievement of goals.

In the process of reducing risk of the organisational buyer, the manufacturers face a greater attention to the development of product for organisational buyer, because he would seek for a longer relationship between buyer and seller with the organisation. However he may not resort to such measures for individual buyer.

Since the organisational is more formal, therefore the complexity of the process also increases. It could be a time consumer product & lot of people & various level & departments could be involved in the organisational purchase. However this is not the case in individual purchase.

Source: Books & Notes

Tags: Buying, Buying Behaviour, Consumer and Organisational, Consumer Behaviour, Difference between, Human Resource, Management Accounting for MBA, MBA Career, MBA Finance, MBA Marketing, MBA Notes, MBA Projects, organisational Behaviour
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ORGANISATIONAL BUYING - Management Duniya

ORGANISATIONAL BUYING

The organisational buying process is more formal than that of the consumer buying behaviour. It involves various levels of participants of the organisation.

Participants in the organisational buying process:

Initiator

Influencer

Gate Keepers

Decision Maker

Purchasers

Users

 Problem Recognition:

The buying process stands with the recognition of the problem which is to be met by purchase of a product. The organisation does so because due to some reasons like to develop new product, where in equipment & material are required or the malfunctioning of the currently available the machinery which require new party or the unsatisfactory results of the already purchased products.

General Need Description:

The buyer then describes the general charismatic of the materials required in terms of the standards, quality, quantity, etc… In this process the helps of technically qualified manpower could be takes for the description of the need. The general description could also include reliability, durability & various other attributes.

 Product Specifications:

The product required to meet the needs are clearly specified. Technical specification & the quality expected are also specified.

Product Value analysis:

It is an approach adopted by organisations for cost reduction in which the various components are thoroughly an analysed in order to extract maximum utility out of it.

Supplier Search: In this stage the organisation tries to identify the most appropriate suppliers/vendors. The suppliers are notified about the requirement through advertisements or some notification. The vendors try to get listed in the various catalogues regarding the suppliers of the market place. This listing helps the supplier to have a reputation in the market. So that buyers would have a good impression about them.

Proposal Solicitation:

The buyer will, in this stage, invite, qualified suppliers to submit proposals which comprises of all the details regarding the products under consideration. The buyer goes through these proposals & selects a few which he feels is the most appropriate one. These proposals are further asked for presentations.

Supplier Selection

After the presentations being given the buyer selects for the most appropriate vendor.

Order Routine Specification:

After the selection of the supplier negotiation of the final order takes place between the buyer & the supplier. Technical specification, quality specification, quantity required, delivery time, warranties etc…, are discussed during these negotiation. In case of maintenance & repair buyers are employing blanket contract concept rather than periodic purchase order.

A blanket contract establishes a long term relationship which supplier promises to re supply the products at agreed up on prices over a specific period of time.

Performance Review:

The buyer keeps reviewing the performance of the suppliers at regular intervals in order to ensure there is maximum profit attain from the present supplier.

Source: Books & Notes

Tags: Buying, Buying Behaviour, Consumer Buying Behaviour, Decision Maker, finance, Financial management, Gate Keepers, General Need Description:, Human Resource, Influencer, Initiator, Management, Marketing, Marketing Management, MBA Career, MBA Finance, MBA HR, MBA Management, MBA Marketing, MBA Notes, MBA Online Notes, Order Routine Specification:, Organisation, ORGANISATIONAL BUYING, Organisational Management, Performance Review:, Problem Recognition, Product Specifications:, Product Value analysis:, Proposal Solicitation:, Purchasers, Users
By: Management Duniya

Role of an Individual in the Purchase Process - Management Duniya

Role of an Individual in the Purchase Process

Role of an Individual in the Purchase Process:

Initiators:  The initiators are those who initiate the purchase idea.

Influencer/ Gate keeper: An influencer helps the initiator to move forward the decision maker or purchaser. A gate keeper however, stops the idea from being passed on higher level.

Decider: Listening the initiator & influencer along with his own pre dispositions the decider makes a decision regarding the purchase.

Purchaser: Those who actually purchase the product are known as purchaser. The decider & purchasers may or may not be the same person.

Source: Books & Notes

Tags: attitude, Consumer, Consumer Behaviour, Decision, Employee, Employee Behaviour, finance, Finance Management, Management Duniya, Managment, Marketing Management, Organisation, Perception, Role of an Individual in the Purchase Process
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MODELS OF CONSUMER BEHAVIOUR - HOWARD SHETH MODEL - Management Duniya

MODELS OF CONSUMER BEHAVIOUR - HOWARD SHETH MODEL

HOWARD SHETH MODEL:

This model was proposed by keeping both the industrial & consumer products, in order to give an understanding about great variety of behaviours. It shows the rational brand choice behaviour by buyer under conditions of incomplete information. It proposes levels of decisions making.

Extensive Problem Solving:

In this the customer does not have any basic information about the band and any preferences for any product. Then he will find information about all brands from the market before purchase.

Limited Problem Solving:

In this, customer has little knowledge about brands and market. This is an advance stage where the choice criterion is defined but the exact solution of the problem is unknown to the customer.

 There are four components describe in the model which causes the actual purchase behaviour.

Input Variables

Out Put variables

Hypothetical Constructs

Exogenous Variable

The input variable consists of some stimulate which serves as the information to the consumer.

1. Significative Stimuli: This is the elements of the brands which the consumer comes across.


2. Symbolic Stimuli: This consists of the stimuli which the producer shows about the various attributes /benefits of his product.


3. Social Stimuli: This consist of those environmental factors which can act as the source of input.

Output variable: This output is the ultimate response of the consumer. In order to come to a conclusion regarding the purchase consideration he follows sequential order.

Attention —– Comprehension —– Attitude—– Interruption—- Purchase Behaviour

The consumer first is attentive towards the various stimuli which help him in comprehensive about various brands. He then develops an attitude for the product due to which he has same intention regarding the purchase decisions.

Hypothetic Construct: These are the interviewing variables which influence the customers output decision. It consists of major variables.

1. Perceptual Constructs


2. Learning Constructs

Perceptual Constructs: This helps in the information processing for the selecting of a brand. It consists of three steps.

Sensitively to information: Where in the customer is open to the options available to him

Perceptual Bias: The consumer then has a biased opinion regarding the various brands, because he perceives each brand differently.

Search for Information: The consumer further searches for information in order to come to a conclusion.

Learning Constructs: This involves the formation of concepts regarding various brands. This consist of various factors like motive, brand potential of evoke set, decision mediators, pre – dispositions, inhibitors satisfaction.

Exogenous Variables: These are the External factors which influence the decision making process. This could include the importance of purchase, personality, social class., culture, organisation, financial status.

Therefore, this model gives on overall views regarding consumer purchases keeping in view all the factors influencing the organisation as well as the end consumer.

Source: Books & Notes

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MODELS OF CONSUMER BEHAVIOUR - Freud Theory or Model - Management Duniya

MODELS OF CONSUMER BEHAVIOUR - Freud Theory or Model

Freud Theory or Model:

The Psychological forces shaping the consumer behaviour is mostly unconscious & their individual himself may not be able to given an explanation for his own preferences of a product. Sometimes he himself cannot fully understand this motivation to buy a product. Where an individual sees a product, he is not only analyses its features but also looks for the less conscious features like the size, color, shape, brand name & etc…, all these can act as factors of motivating him to buy the product, at the same time this consumer ins unaware of the preferences he has for it. Motivation researches conduct in depth service or interviews in order to find the effect of such unconscious factors.

Recent research has given result that each product is capable of bringing out a certain set of motives. For ex. An insurance policy will be opted by one who meets security for him and his family.

Different brands use this unconscious consumer behaviour to trap customers by giving different appeals. This is often termed as motivational positioning.

Source: Books & Notes

Tags: Behaviour, Consumer, Consumer Behaviour, employees, finance, Finance Management, Freud Theory or Model, Human Resource, Human Resource Management, Management, Management Accounting for MBA, Marketing, Marketing Management, Maslow Theory, Maslow's Model, Maslow's Theory, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA internet materail, MBA on Internet, MBA project, MBA Study Material, Models of Consumer Behaviour, Motivation, Organisation, organisational Behaviour
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MODELS OF CONSUMER BEHAVIOUR - Marshallain Economic Theory - Management Duniya

MODELS OF CONSUMER BEHAVIOUR - Marshallain Economic Theory

Marshallain Economic Theory:

Alfred Marshall and other classical economists bare the first professional groups to construct a specific theory of buyer behaviour. This theory holds that purchasing decisions are the result of largely ration of & conscious economic calculation. The individual buyer seeks to spend his income on those goods that will deliver the more utility.

Marketers have dismissed this model as an observed one as it is not applicable to the real world situations. This model is also often called as economical model. In this four main effects where discussed according to which the customers where supposedly taking decisions regarding purchases. The effects are

Price Effect: According to this the lesser price of the product, the more the sale would take place.

Income Effect: The higher the real income the more the buyer would spend on the products.

Substantial Effect:  The lower of the price of the substantial products the higher the sales would be, therefore declining the sales of the other product.

Communication Effect: The more the product feature is communicated to the consumer. The more sales it would be.

However, these four effects are not always employed by consumer during their purchase. Further, nothing is specified regarding the relation between the product features and consumer preferences. This model gives only a very narrow view of the purchase pattern & this cannot serve as a perfect model for understanding consumer preferences in buying behaviour.

 

Source: Books & Notes

Tags: Consumer Behaviour, Economic Theory, economics, Employee, Human Resource, Management, Management Accounting for MBA, management economics, Marketing, Marketing Management, Marshallain Economic Theory, MBA Accounting, MBA Career, MBA Exam Study material, MBA HR, MBA internet materail, MBA Marketing, MBA Notes on Internet, MBA on Internet, MBA project, MBA Study Material, Models of Consumer Behaviour, Notes for MBA Students, Organisation, Organisation Behaviour
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MODELS OF CONSUMER BEHAVIOUR - Maslow's Theory - Management Duniya

MODELS OF CONSUMER BEHAVIOUR - Maslow's Theory

Abraham Maslow

Abraham Maslow suggested a model based on which consumer markets their decisions. According to him motivation is the prime factor, which is divided in to various levels & this essentially dictates the behaviour of individual. According to him there are five levels of motivation which the consumer tries to satisfy in a sequential order.

Any individual would satisfy the level 1 and then only proceeds to level 2 and so on. The pressing need is satisfied in the order of these levels. A hungry person would not be interested in satisfying his esteem needs; rather he would try to satisfy the basic needs i.e. to purchase something which would satisfy his hunger. Immediately after this stage he will not try to satisfy any other need other than level 2.

Maslow’s theory helps marketers’ to understand how various products fit in to the plans, goals & lives of the customers. This serves as an important model in understanding the consumer behaviour because markets can anticipate / forecast the needs their customers & can cater to their needs depend up on their existence level.

 

Source: Books & Notes

Tags: Career, Consumer, Consumer Behaviour, finance, Financial management, Human Resource, Management Accounting for MBA, Marketing, Marketing Management, Maslow's Model, Maslow's Theory, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA HR, MBA internet materail, MBA Marketing, MBA Notes on Internet, MBA on Internet, MBA project, MBA Study Material, Models of Consumer Behaviour, Notes for MBA Students, Online Notes for MBA, Online notes for MBA finance Students, Organisation, Projects
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Post Purchase Action - Management Duniya

Post Purchase Action

Post Purchase Action:

The consumer’s satisfaction or dissatisfaction with influences his subsequent behaviour. Dis-satisfactory consumers may not go for the repurchase & may spread negative word of mouth. However, the customer is satisfied with the performance of the product he may repurchase it & could spread positive word of mouth.

This is a state of the consumer wherein he compares his expectations with those of the actual benefits of the product. Therefore this is an important stage for the marketer as well because the customer’s future course of action is decided in this stage.

Source: Books & Notes

Tags: Consumer, Consumer Behaviour, finance, Financial management, HRA, Human Resource, Management, Management Accounting for MBA, Marketing, Marketing Management, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA HR, MBA internet materail, MBA Marketing, MBA Notes on Internet, MBA on Internet, MBA project, MBA Study Material, Notes for MBA Students, Online Notes for MBA, Online notes for MBA finance Students, Online study material for MBA, Organisation, organisational Behaviour, Post Purchase Action
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Post Purchase Behaviour - Management Duniya

Post Purchase Behaviour

Post Purchase Behaviour:

After the purchase of the product the consumer could experience either satisfaction or dissatisfaction.

Post Purchase Satisfaction / Dissatisfaction:

If the performance of the product falls short of expectations the consumer will be dissatisfied.

If he meets the expectation, the consumer will be satisfied.

If he exceeds the expectations of the consumer than the consumer more satisfied or delighted. These feelings make a difference in the decision of the consumer regarding the future course of action i.e. repurchase decisions.

Source: Books & Notes

Tags: finance, Financial management, Human Resource, Management, Management Accounting for MBA, Marketing, Marketing Management, MBA, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA HR, MBA internet materail, MBA Marketing, MBA Notes on Internet, MBA on Internet, MBA project, MBA Study Material, Notes for MBA Students, Online Notes for MBA, Online notes for MBA finance Students, Online study material for MBA, Organisation, organisational Behaviour, Post Purchase Behaviour
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STEPS IN BUYING PROCESS - Evaluation of Alternatives & Purchase Decision - Management Duniya

STEPS IN BUYING PROCESS - Evaluation of Alternatives & Purchase Decision

 Evaluation of Alternatives:

There is no single evaluation process followed by all the consumers. The evaluation method could vary depending up on the individual or the nature of the product. However, it is foremost intention will be to satisfy the need. Secondly, he owned look for the other benefits accompany each product. He would evaluate each brand  assess their abilities & the ultimate satisfaction which could be achieve with that purchase consumers generally evaluate all the brands based on the key attributes and to do so he may unknowingly or knowingly rate the different brands, compare the attributes of each brand in order to arrive at a conclusion.

Purchase Decision:

Generally evaluations of alternatives are followed by the purchase decision. This because once the consumer evaluates the set of alternatives available to him it could be easier for him to reach a conclusion. However, two factors can interfere between the person intension & the actual purchase.

Attitude of Others & Un anticipated Situational Factors

The first factor describes the extent to which the other person attitude influences the choice of the consumer.

And the second factor could be situations which are confronted by the consumer & which could compile him to change his purchase decision.

Source: Books & Notes

Tags: finance, Financial management, Human Resource, Management Accounting for MBA, Marketing, Marketing Management, MBA Career, MBA Exam Study material, MBA internet materail, MBA Notes on Internet, MBA on Internet, MBA Study Material, Notes for MBA Students, Online Notes for MBA, Online notes for MBA finance Students, Online study material for MBA, Organisation, organisational Behaviour
By: Management Duniya

STEPS IN BUYING PROCESS-Information Search - Management Duniya

STEPS IN BUYING PROCESS-Information Search

 Information Search:

Once the need is recognised the consumer could search for information which would satisfy his needs. He will be involved in activities which could serve him a solution for his problem. He collects information from various sources which could be normally.

Personal Source: These include family, friends, neighbours, co workers etc…

Commercial Sources: This includes Adds, Sales, Promotional activities, Dealers, Packaging, Displays etc…

Experimental Sources: This includes handling, examining & using the product. This information search takes place a systematic way.

Total Set  —-    Awareness Set —-   Consideration Set  —–   Choice Set  —-    Decision

The total set consists of all the brands available in the particular category in the market.

Awareness set constitutes of those brands which the consumer is aware.

Consideration set consists of only those brands which would meet his initial criterion.

The choice set consists of those brands which the consumer feels could satisfy his other criterion.

Decision will be made to buy only one brand from the choice set.

Source: Books & Notes

Tags: Consumer, Consumer Buying process, finance, Financial management, Human Resource, Human Resource Management, Information Search, Management Accounting for MBA, Managment, Marketing, Marketing Management, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA HR, MBA internet materail, MBA Marketing, MBA Notes on Internet, MBA on Internet, MBA project, MBA Study Material, Online Notes for MBA, Online notes for MBA finance Students, STEPS IN BUYING PROCESS
By: Management Duniya

STEPS IN BUYING PROCESS - Management Duniya

STEPS IN BUYING PROCESS

STEPS IN BUYING PROCESS

The buying process consists of a systematic approach where in the consumer goes through in a detailed process in order to achieve maximum satisfaction. The purchase process consist 5 steps. Those are as follows.

Need Recognition,

Information search,

valuation of alternatives,

Purchase & Post purchase Behaviour.

Need Recognition:

An individual purchase a product /services only when he feels it is necessary. This need recognition could be better understood on the basis of Maslow motivational theory. According to which needs an individual falls in a hierarchal way an individual would advance to a higher level only if the lower levels are satisfied.

Source: Books & Notes

Tags: Buyer, BUYING PROCESS, Consumer, Consumer Buying process, finance, Management, Management Accounting for MBA, Marketing, Marketing Management, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA HR, MBA internet materail, MBA Notes on Internet, MBA on Internet, MBA project, Notes for MBA Students, Online notes for MBA finance Students, Online study material for MBA, STEPS IN BUYING PROCESS
By: Management Duniya

Consumer Buying Behaviour - Social Factors - Management Duniya

Consumer Buying Behaviour - Social Factors

Social Factors:

In addition to the internal/Personal factors the consumer behaviour is influenced by social factor reference groups, families, social class.

Reference Groups:

It consists of those groups which have a direct or indirect influences on the persons, attitudes & behaviour. Groups having a direct influence on a person are called membership groups, which companies of families, friends, neighbours, colleagues, etc…, with whom the person interact in a continues informal way. People who belong the secondary groups have an indirect influence on the individual and few companies of religious professional or union groups with which the individual has a formal & discrete interaction.

Family:

A family is most important influencer in the purchase behaviour of any individual. It is the family, which to large extent shake the individual believes & behaviour. The environment of a family plays a wider role in the individual’s perceptions & attitude building.

 Social Class:

A person participates in various social groups like those of clubs, Organisation etc… The role & status of an individual in the social group influence the buying behaviour. Consumer often chooses products that communicate their role/status/class in the society.

Source: Books & Notes

Tags: Behaviour, Consumer, Consumer Behaviour, Customer, finance, Financial management, Management Accounting for MBA, Managment, Marketing, Marketing Management, MBA Accounting, MBA Career, MBA Exam Study material, MBA Finance, MBA HR, MBA Marketing, MBA Notes on Internet, MBA on Internet, MBA project, Notes for MBA Students, Online study material for MBA, purchases
By: Management Duniya

Consumer Buying Behaviour- Internal Factors - Management Duniya

Consumer Buying Behaviour- Internal Factors

Internal Factors:

Past Experience:  Past experience of an individual would reflect up on the future course of action. If an individual satisfaction with the product earlier then he feels to have are purchased idea & in case he was de satisfied with the experience, he may never go for re purchase.

Attitude: It is a emotional pre-disposion towards a particular object or financial. There attributes serve as a direction for the customers for the purchase of a product/ Service.

A person with a negative attitude towards a particular object would generally keep away it at the same time if he has a positive attitude he may have a special liking or favour it which intern would encourage its purchase.

Perception: It is the process, by which an individual selects, organises & interpret information in puts to create a meaning full picture of an objects of financial people can emerge with different perceptions of the same object because of the different perceptional influences. These processes could be due to the concept of idea which we anticipate or due to many other internal factors.

Learning: It involves the changes in an individual due to the knowledge acquired in due course of time as well as the drive in him supported by the cue which results in the response.

Motivation: This is another factor which influences the buying behaviour according to the needs an individual; Maslow has proposed the hierarchy model. When in the needs of individual are satisfied in their hierarchal way & the buying behaviour also would be accordingly.

Personality: Any individual has the personality which includes their selves namely. I.e. Ego, Super Ego.

 

Source: Books & Notes

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By: Management Duniya

Consumer Buying Behaviour - Management Duniya

Consumer Buying Behaviour

Consumer Buying Behaviour

Consumer often by product/services based on various factors. Consumers buy products in order to satisfy their needs & requirements buy. Sometimes may undertake a systematic process of buying & at other activities they could go for a product for no special reason or attribute. There are various approaches proposed for consumer’s behaviour. And consumers could follow any of these for their buying behaviour.

There are various factors which influences an individual buying a product. There could be individual buying a product. There could be

Internal Factors:

Past Experience, Attributes, Perception, Learning, Motivation & Personality.

Environmental Factors:

Which consist of the economical, technological, Legal & Political factors?

Social Factors:

Family, Reference group

Cultural Factors:

The above mention factors are influence the purchase pattern in a unit way.

Source: Books & Notes

Tags: Buying Behaviour, Consumer, Consumer Buying Behaviour, finance, Financial management, Human Resource, Management, Management Accounting for MBA, Marketing, Marketing Management, MBA Career, MBA Exam Study material, MBA HR, MBA internet materail, MBA Marketing, MBA Notes on Internet, MBA Study Material, Notes for MBA Students, Organisation, organisational Behaviour, sales, Selling
By: Management Duniya

CHALLENGES OF ONLINE MARKETING - Management Duniya

CHALLENGES OF ONLINE MARKETING

Online marketing is offering great features to customers.  In current scenario internet and E-commerce had replaced magazines, news papers etc…, but some of the challenges that online marketers face.

Limited Consumer exposure & buying:

Although expanding rapidly, online marketing still reaches only a limited market place moreover; many web users do more window browsing than actual buying. One source estimates that although 65% of current internet users have used the web to check out products & compare prices. Prior to a particular decision only 14% users have actually purchased anything online. Still fewer have used their credit cards.

Chaos & Clutter:

The internet offers millions of websites of staggering volume of information. Thus, navigating the internet can be frustrating, confusing & time environment, many web ads & site go un noticed or unopened. Even when noticed, marketers will find it difficult to hold consumer attention. One study finds it that a site must capture web surfers’ attention within 8 seconds or lose them and they shift to other sites. That gives very less time for marketers to promote & sell their products.

Security:

Consumers still worry that unscrupulous snoopers will eavesdrop on their online transactions or intercept their credit card numbers & make unauthorised purchases.

Ethical Concern:

Privacy is a primary concern. Marketers can easily track website visitors and many consumers who participate in website activities provide extension personal information. This may leave consumers open to information abuse it companies make unauthorised use of the information in markets their products or exchanging electronic lists with other companies. There are also concerns about segmentation & discrimination.

Source: Books & Notes

Tags: Buy, Buying, CHALLENGES OF ONLINE MARKETING, Consumer, Consumer Behaviour, Consumer Buying, finance, Financial management, Management, Market, Marketing, Marketing Management, MBA Career, MBA HR, MBA Marketing, MBA Subject Material, Online Marketing, Organisation, organisational Behaviour, Perception, sales, Selling, volume
By: Management Duniya

Differences between Rural & Urban Markets - Management Duniya

Differences between Rural & Urban Markets

 

 

 

Source: Books & Notes

Tags: Differences between Rural & Urban Markets, finance, Financial management, Management, Marketing, Marketing Management, Rural marketing, sales, Selling, Urban Marketing, volume
By: Management Duniya

Differences between Marketing & Selling - Management Duniya

Differences between Marketing & Selling

 

Source: Books & Notes

Tags: Career, Difference between Marketing & Selling, financial, Financial management, Loss, Marketing, Marketing Management, MBA, MBA Career, MBA HR, MBA Marketing, Profit, Profit & Loss, sales, Selling, Which Career
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MARKETING MANAGEMENT PHILOSOPHIES - Management Duniya

MARKETING MANAGEMENT PHILOSOPHIES

MARKETING MANAGEMENT PHILOSOPHIES:

Production Concept: The philosophy that consumers will favour products that are available & highly affordable & the management should therefore focus on improving production & distribution efficiency.

Product concept: The idea that consumer will favour products that offer the most quality, performance & features that the organisation should therefore devote its energy to making continuous produce improvement.

Selling Concept: The ideal that consumers will not buy of the organisational products unless the organisation under takes a large scale selling & promotion at effort.

Marketing Concept: The marketing management philosophy that achieving Organisational goals depends on determining the needs and wants of target markets & delivering the desired satisfaction more efficiently & efficiently than competitors do.

 Societal Marketing: The idea, that the organisation should determine the needs, wants & interest of target market & delivered the desired satisfactions more effectiveness and efficiently than other competitors in a way that maintains or improves the consumers & society’s well being.

De Marketing: Marketing to reduce demand temporarily or permanently the ain is not to destroy demand, but only to reduce or shift it.

Market Mix: A set of controllable marketing tools product: Price, Place & promotion that the firm blends to produce the response, it wants in the target market.

Direct Marketing: Direct communication with carefully targeted individual consumer to obtain an immediate response & cultivate lasting relationships.

Source: Books & Notes

Tags: De marketing, Direct Marketing, Financial management, Human Resource, Human Resource System, Indirect Marketing, Loss, Management, Market Mix, Marketing, Marketing Concept, Marketing Management, MARKETING MANAGEMENT PHILOSOPHIES, Organisation, Product Concept, Production Concept, Profit, Profit and Loss, sales, Selling Concept, Social marketing, volume
By: Management Duniya

MARKETING - Management Duniya

MARKETING

Definition: A Social & managerial process whereby individuals & obtain what they need and want through creating and exchanging products & value with others.

Need: A state of felt deprivation.

Want: The form taken by human need as shaped by culture & Individual personality.

Demand: Human wants that are backed by buying power.

Product: Anything that can be offered to a market for attention acquisition, use or consumption that might satisfy a want or heed, It includes physical objects, services, persons, places, organisations & ideas.

Services: Any activity or benefit that one party can offer to another i.e. essentially intangible and does not result in the ownership of anything.

Customer Value: The difference between the values the customers gains from owing & using a product & the cost of obtaining a product.

Consumer Satisfaction: The extent to which a product perceived performance matches buyer expectations.

Exchange: The act of obtaining a desired object from someone by offering something in return.

Transaction: A trade between two parties that involves at least two thing of value agreed upon condition a time if agreement & a place of agreement.

Relationship Marketing: The process of creating, manufacturing & exchanging strong value relationships with customers & enhancing other stakeholders.

Market:  The set of all actual & potential buyers of a product or service.

Marketing Management: The analysis, planning, implementation & control of programs designed to create, built & maintain beneficial exchanges with target buyers for the purpose of achieving organisational objectives.

Source: Books & Notes

Tags: Consumer, Consumer Analysis, Consumer Satisfaction, Customer, Customer Value, Demand, finance, Financial management, Market, Marketing, Marketing Management, MBA, MBA Career, MBA Management, MBA Marketing, MBA Subject, sales, Satisfaction, Supply
By: Management Duniya

MARKETING MANAGEMENT TASKS - Management Duniya

MARKETING MANAGEMENT TASKS

Various states of demand & the corresponding marketing tasks:

Negative Demand: This occurs when a major part of the market dislikes the product & make even pay a price to avoid it. The marketing task is to analyse the reasons for his dislike & to find out whether a marketing program consist of product redesign low prices and more positive promotion could change the customers believes & attitudes.

No Demand: Here the target market may be uninterested or in different to the product. The marketing task is to find out ways to convert the benefits of the product with the person’s natural needs & interests.

Latent Demand: Many customers may share a strong need that cannot be satisfied by any existing product. There is a strong latent demand for fuel efficient vehicles. The marketing task is to measure the size of the potential markets and develop effective goods and services that satisfy the demand.

Falling Demand: Every organisation sooner or later faces a falling demand for one or more of its products. The market must analyse the causes of market decline and determine whether demand can be re stimulated by finding new target market charming the product features or developing more effective communication. The marketing task is to reverse the declining demand through creative re marketing of the product.

Irregular Demand: Many organisations face demand that various a seasonal daily or even hourly basis selling problems of idle capacity of over worked capacity. Ex: Museums & Holiday resorts. The marketing task called syncro marketing is to find ways to alter the time pattern of the demand through flexible pricing, promotion & other incentives.

Full Demand: This is an ideal situation organisation face full demand when they are satisfied with their volume of business; the marketing task is to maintenance the current level of demand in the phase of changing consumer preferences & increasing competition. The organisations must keep up or improve its quality and continuously measure consumer satisfaction to make sure it is doing a good job.

 Overfull Demand: Some organisations like Maruti  Udyog face a demand level that is higher than they can or want to handle. The marketing task called de marketing requires finding ways to reduce the demand temporarily or permanently. General marketing & reducing promotion & service is one way of handling this situation.

UN whole Demand: Un whole some product requires organised efforts to discourage their consumption. Campaigns have been conducted against cigarettes, alcohol & hard drugs. The marketing task is to help people give up the habit by using such tools as fear communication price likes & reduced availability.

Source: Books & Notes

Tags: Demand, Demand and Supply, Direct Marketing, income, Indirect Marketing, Loss, Management, Marketing, Marketing Management, Marketing management Tasks, Marketing Tasks, MBA, MBA Career, MBA Management, MBA Marketing, Profit, Profit & Loss, revenue, Rural marketing, sales, Supply, volume
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Training Methods - Management Duniya

Training Methods

As results of research in the field of training a number a number of programs are available. Some of these are new methods while other improvements over traditional methods. The training programs commonly used to train operative and supervisory personnel are discussed below. These programs are classified into on-the-job training programs and off-the-job training programs.

  

On-the-job methods

This type of training, also known as job instruction training, is most commonly used methods. Under this method, the individual is placed on a regular job and taught the skills necessary to perform that job.

The trainee learns under the supervision and guidance of a qualified worker or instructor.

A)   Job Rotation:

         This type of training involves the movement of the training involves the movement of the trainee from of one job to another. The trainee receives job knowledge and gains experience from his supervisors or trainer in each of the different job assignment.

         Through this type of training is common in training managers for general management positions, trainees can also be rotated from job to job in workshops jobs. This method gives and opportunity to the trainee to understand the problems of employees on other jobs and respect them.

B)    Coaching:

The trainee is placed under a particular supervisor who functions as a coach in training the individual. The supervisor provides feedback to the trainee on his performance and offers him some suggestions for improvement. Often the trainee shares some of the duties and responsibilities of the coach and relives him burden. A limitation of this method of training is that the trainee may not have the freedom or opportunity to express his own ideas.

C)   Job instruction:

              This method is also known as training through step by step. Under this method, trainer explains the trainee the way of doing the jobs, job knowledge and skills and allows him to do the job. The trainer appraises the performance of the trainee, provides feedback information and corrects the trainee as shown below

Step 1. Prepare the employee for instruction.

Step 2. Present the job.

Step 3. Have him to do the job.

Step 4. Follow through

D) Committee assignments

               Under this group of trainees are given and asked to solves an actual organization problem. The trainees solve the problem jointly. It develops teamwork.

Off-the-job Training methods:

Under this method of training, trainee is separated from the job situation and his attention is focused upon learning the material related to his future job performance. Since the trainee is not distracted by job rather than spending his time in performing it. There is an opportunity for freedom of expression for the trainees. Off –the-job-training methods are as follows.

A)   Vestibule Training:

In this method of training, actual work conditions are stimulated in a classroom. Material, files equipment those are used in training. This type of training is commonly used for clerical and semiskilled jobs.

B)    Role-playing:

        It is defined method of human interaction that involves action, doing and practice. The participants play the role of certain characteristics, such as production manager, mechanical engineers, superintendents and the like. This method is mostly used for developing interpersonal interactions and relations.

C) Lecture method:

       This lecture is traditional and direct method of instruction. The instructor organizes the material and gives it to group of trainees in the form of a talk. To be effective, the lecture must motive and create interest among the trainees.

       An advantage of lecture method is that it is a direct and can be used for a large group of trainees. Thus the cost and time involved are reduced. The major limitation of the lecture method is that it does not provide for transfer of training effectively.

  

D) Conference of discussion method:

It is a method in training the clerical, professional and supervisory personnel. This method involves a group of people who assumptions, and draw conclusion, all of which contribute to the improvement of job performance. Discussion has the distinct advantage over the lecture method in that the discussion involves two-way communication and hence feedback is provided. The participants feel free to speak in small groups. The success of this method depends on the leadership qualities of a person who leads the group.

E) Programmed instruction:

In recent years this method had become popular. The subject matter to be learned is presented in a series of carefully planned sequential units. These units are arranged from simple to more complex level of instruction. The trainee goes through these units by answering questions or filling the blanks. The method is expensive and time consuming.

Source: HR Books & Notes

Tags: Accounting Management, Career, CAREER PLANNING, employees, Human Resource, job, Management, MBA Career, MBA Finance, MBA HR, MBA Students, MBA Subject, Organisation, Planning, training, Training and Development, Training Methods
By: Management Duniya

Assessment of training needs - Management Duniya

Assessment of training needs

Training needs are identified on the bases of organizational analysis and man analysis. Training program, training methods and course content are to be planned on the basis of training needs. Training needs are those aspects necessary to perform the job in the organization in which employee.

Training needs = job and organization requirements – employee specifications.

Training needs can be identified through identified the organizational needs based on:

      Strengths and weakness in areas likes accidents, excessive scrap, frequent breakage of machinery, excessive labor turnover, market share and marketing areas, quantity and quality of the output, production schedule, raw materials and other production areas personal finance. Department strength and weaknesses including specific problems of the department or a common problem of a group of employees like acquiring skill and knowledge in operating computer by accounting personnel

 The following methods are used to assess the training needs:

• Organizational requirements & weakness


• Departmental strength & weakness


• Job specification and employee specification


• Identifying specific problems


• Anticipating future problems


• Management’s request


• Observation


• Interviews


• Group conferences


• Questionnaire surveys


• Test or examinations


• Checklists


• Performance appraisal

A healthy organization climate represents its commitment and expresses it through successful and smooth training policy, which will govern and influences the standard of program it undertakes. Training needs have to be related both in terms of organization needs and individual demand.

Source: HR Books & Notes

Tags: Career, CAREER PLANNING, Development, finance, Human Resource, Management, MBA, MBA Career, MBA HR, MBA Studnets, MBA Subject, Organisation, Planning, training
By: Management Duniya

Need For Training - Management Duniya

Need For Training

Every organization big or small, old or newly established should provide training to all employees irrespectively of their qualification, skill, and suitability for the job etc. Thus, no organization can choose whether or not to train employees.

Specifically, the need for training arises due to the following reasons:

To match  the Employee specifications with the the job requirement and organizational needs:

           An employee’s specifications may not exactly suit to the requirements of the job and organization irrespective of his past experience, qualifications, skills, knowledge etc. Thus management may find deviations between employee’s present specification and job requirements and organization needs.

Organizational viability and transformation process:

           The primary goal of most of the organizations is there viability and efficiency. But environmental pressures continuously influence the organizational viability. If the organization does not adapt itself to the changing factors of the environment, it will lose its market share. if the organization desires to adopt to these changes, first it has to train employees to impact specific skill and knowledge in order to contribute to the organizational efficiency and to copy with changing environment the productivity of the organization can be improved by increasing the efficiency and to cope of transformation process, which in turn depends on enhancement of existing levels of skills and knowledge of the employees. Employee effectiveness can be secured by proper training.

 

Technological advances:

Every organization, in order to survive and to be effective, should adopt the latest technology i.e. mechanization, computerization and automation. Technology alone does not guarantee success unless people possessing required skills and knowledge from time to time support it.

Organizational complexity :

         With the emergency of increased mechanization and manufacturing of multiple products and by products or dealing in services of diversified lines, extension of operation to various regions of the country or in overseas countries, organization of most of the companies has become complex. This leads to the growth in number and kind of employees and layers in organizational hierarchy. This in turn creates the problems of coordination and integration and adaptability to the requirements of growth diversification and expansion. Training is responsible for much of the planned change and effective of the organization.

 

Change in the job assignment:

Training is also necessary when the existing employee is promoted to the higher level in the organization or where there is some new job or operation due to transfer. Training is also needed to equip to old employees with the advanced disciplines, techniques or technology.

Training is also need for:

• Increased productivity


• Improve quality of the product/ service


• Help a company to fulfill its future personnel needs


• Improve health and safety


• Prevent obsolescence


• Effect personnel growth


• Minimum the resistance to change

 

Source : HR Books & Notes

Tags: Career, CAREER PLANNING, Development, Disclosure to employees, employees, finance, Human Resource, job, Management, MBA, MBA Career, MBA HR, Need For Training, Organisation, Planning, Planning & Development, training
By: Management Duniya

Benefits of Training- To the Individual - Management Duniya

Benefits of Training- To the Individual

 

• Helps the individual in making better decisions and effective problem solving


• Through training and development, Motivational Variables of recognition, Achievement, Growth, responsibility and advancement are internationalized and operationalised


• Aids to encouraging and achieving self-development and self-confidence.


• Helps a person handle stress, Tension, Frustration and conflict.


• Provide information for improving leadership, knowledge, communication skills and attitudes.


• Increases job satisfaction and recognition.


• Moves a person towards personal goals while improving interactive skills


• Satisfies personal needs of the trainer


• Provides the trainee an avenue for growth and say in his/her own future.


• Develops a sense of growth in learning.


• Helps a person develop speaking and listening skills also writing skills when exercise are required


• Helps eliminate fear in attempting new tasks.


• Benefits in personal and Human Relations, Intragroup and intergroup relations and policy implementation.


• Improves communication between groups and individuals.


• Aids in orientation for new employee and those taking new job s through transfer or promotion.


• Provides information on equal opportunity and affirmative action.


• Provides information on other government laws and administrative polices.


• Improves interpersonal skills.


• Makes organizational polices rules and regulations viable.


• Improves morale.


• Builds cohesiveness in-groups.


• Provides a good climate for learning growth and coordination.


• Makes the organization a better place to work and live.

Source : HR Books & Notes:

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By: Management Duniya

Benefits of Training - Management Duniya

Benefits of Training

How Training benefits the organization?

• Leads to improve profitability and /or more positive attitudes towards profit orientation


• Improves the job knowledge and skills at all levels of the organization


• Improves the morale of the work force


• Helps people identify with organizational goals


• Helps Create a better corporate image


• Fosters authenticity openness and trust.


• Improves relationship between Boss and subordinate


• Aids in organizational development


• Learn from the trainee


• Helps prepare guidelines for work.


• Aids in understanding and carrying out organizational police.


• Provides information for future needs in all areas of the organization.


• Organization gets more effective decision making and problem solving skills


• Aids in developing Leadership skills, Motivation, loyalty, Better Attitudes and other aspects that the successful workers and managers usually display.


• Aids in increasing productivity and or Quality of work.


• Aids to development for promotion from within.


• Helps keep costs down in many areas.


• Develops a sense of responsibility  to the organization for being competent and knowledgeable


• Improves labour –management relations.


• Reduces outside consulting costs by utilizing competent internal consultation.


• Stimulates primitive management as oapposed putting out fires.


• Eliminates sub optimal behavior


• Creates an appropriate climate for growth, communication.


• Aids in improving organizational communication


• Helps employees adjust to change.


• Aids in handling conflict, they’re by helping to prevent stress and tension.

Source: HR Books & Notes

Tags: Benefits of Training, CAREER PLANNING, Development, Financial Planning, HRD, Human Resource, Inputs in Training and Development, Management, MBA, MBA Career, MBA HR, Organisation, Planning, Planning Management, training, Training and Development
By: Management Duniya

Importance of Training - Management Duniya

Importance of Training

The importance of Human resource management to a large extends depends on human resource development and training is its most important technique. No organization can get a candidate who exactly matches with the job and the organization requirements. Hence, training is important to develop the employee and make him suitable to the job. Training works towards value addition to the company through HRD.

Job and organizational requirements are not static, they are changed from time to time in view of technological advancement and change in the awareness of the total quality and productivity management (TQPM). The objectives of the TQPM can be achieved only through training, which develops human skills and efficiency. Trained Employees would be valuable assets to an organization. Organizational efficiency, productivity, progress and development to a greater extend depend on training. If the required training is not provided, it leads to performance failure of the employees. Organizational objective like viability stability and growth can be achieved through training. Training is important as it constitutes a significant part of management control. Training enhances four C’s for the organization.

Competence

Commitment

Creativity and

Contribution.

Source: OB Books & Notes

Tags: CAREER PLANNING, Employee, finance, HR, HRD, Human Resource, Human Resource Development, Importance, Importance of Training, Management, MBA Career, MBA HR, MBA HRA, Organisation, Planning, training
By: Management Duniya