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MANAGEMENT PROGRAMME
Term-End Examination
December, 2005
MS92 (S) : MANAGEMENT OF PUBLIC ENTERPRISES
Time: 3 hours
Maximum Marks: 100
(Weightage 70%)
SECTION A
Set I
(Pre-Revised)
1. What are the foundations on which Government- PE relationships are based ? Discuss the different ways in which Government interacts with PEs.
2. "The governing boards of PEs in India occupy a very significant position and enjoy far wider responsibilities than the boards of commercial companies." Discuss.
3. Explain the concept of employee participation and how does it work through ownership in lndia.
4. Discuss the causes which can be attributed to organizational decline of the PEs. Illustrate with examples.
5. Explain ihe concept of a holding company and discuss the evolution of holding companies in PEs.
Set II
(Revised)
1. Discuss the impact of economic reforms on PEs since 1991.
2. 'Legislative control becomes one of the most important and effective methods of enforcing accountability, especially in the Indian context.' Elaborate and critically analyze the statement.
3. Briefly discuss the performance evaluation of the State Electricity Boards.
4. Discuss the various methods of disinvestment and the strategic issues involved in disinvestment process.
5. Write short notes on :
(a) Restructuring
(b) Leases
(c) Joint-ventures
(d) Corporate Governance in PEs
SECTION B
6. Read the following passages and answer the questions that follow :
(a) Bharat Bhari Udyog Nigam Ltd.
It is holding company comprising seven subsidiaries in the eastern region including well known names like Burn Standard Co. Ltd., Jessop & Co. Ltd., and Braithwate & Co. Ltd. Its 1990 - 91 sales turnover was Rs. 410 crores with a loss for the year of Rs. 10.90 crores.
The company's objective as given in its 1991 - 92 MOU inter alia "is to achieve a high degree of customer satisfaction through timely supply of quality products and services". This was to be measured with reference to delivery/erection commitments of various products and services on a five-point scale with a weight of 10%.
Do you think that the company's objective is appropriate in the present context ? Comment.
Andrew Yule & Co. Ltd.
This old British Managing Agency house became a government company in 1979. It is a multi-unit, multiproduct conglomerate with five subsidiaries and a gross turnover of Rs. 325 crores in 1990 - 91.
The company's MOU attached 5% weight to customer satisfaction measured with reference to liquidated damages and free rectification and replacement cost as a percentage of turnover. The company's aim was to reduce it from .40% in 1990-91 to .36% in 1991-92. The company wanted its marketing efforts to be judged with reference to (i) total orders booked during the year, (ii) selling and marketing cost, and (iii) number of products launched, with an overall weight of 8%.
Comment on the marketing efforts of the company keeping in mind the customers perspective.
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