BSSS INSTITUTE OF ADVANCED STUDIES

LIVE PROJECT ON IMPLEMENTATION OF WEBER’S PRINCIPLES AT MANGLAM ELECTRONICS

Submitted by:

Abhishek Pratap Singh

Ankit Dogne

Krati Soni

Sanjeet Patel

Submitted to:

Dr. Pooja Sharma

Associate Professor

BSSS IAS

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About Manglam Electronics

• Manglam Electronics in Bhopal is the top electronic dealer, offering a vast range of affordable electronics and appliances.
• The store is a one-stop destination for various products, including home and kitchen appliances, air conditioners, laptops, mobile phones, and more.
• With focus on affordability, Manglam Electronics provides attractive deals and discounts to improve customers lifestyles.
• Customers are encouraged to visit the store for a wide variety of appliances under many categories and the assurance of the best deals with the best dealers.

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Questions 1-2

1. What kind of Authority Hierarchy does Manglam Electronics follow at it’s store?

2. But how does this Authority Hierarchy work with Company Promoters who work at the store?

Manglam Electronics store has a 3-level authority structure with Store Manager holding the highest authority. It is followed by Appliance Managers (people with specialized knowledge in one appliance category), and finally the salesman and other staff.

Promoters from different brands work and take directions under the store manager. Store manager and the brand decide the roles and responsibilities of promoters according to store needs and time of the sale season.

However, with a formal setting, company promoters are on the same level at the store like any appliance manager.

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Questions 3-4

3. Do employees at the store follow any formal set of rules and regulations?

4. What set of rules apply on employees who come directly from the brands?

• Manglam Electronics has policies that determine how store employees get their work done.
• Other than these, general guidelines are in place as put forward by the store manager which clearly define how employees interact with customers and people from outside the store.

There are no special rules and policies for employees that have come to work at the store from the brand directly. Common set of policies and guidelines are applicable to all irrespective of their position at the store.

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Questions 5-6

5. On what basis are employees divided at the store?

6. How are people recruited to suit this style of division at the store?

• Every employee in the store is divided based on their knowledge in a particular appliance category.
• An employee can only work under one appliance category taken care by the Appliance manager. However, some categories such as “coolers” that do not require specialized knowledge are handled by the same set of employees that handle other categories.
• Some common categories at the store are: Smart TVs, Refrigerators, Smartphones, Laptop’s and Personal Computers.

Main base of recruitment is product specialized knowledge with sales experience. Manglam Electronics do not hire freshers and people with no prior experience.

In their own words: “sales is an area which cannot be mastered overnight and thus it is easy for the business to hire experienced personnel directly.”

Other staff at the store however, such as cleaning and maintenance are hired based on seasonal needs with or without experience.

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Questions 7-8

7. How are different employees at the store treated?

8. Do the store manager engage actively to identify and prevent favoritism among managers and salesman?

Store manager at Manglam Electronics are impartial with their treatment of employees in the store. All staff irrespective of their roles and titles go through the same set of rules which are applied throughout the store.

Salesman and company promoters go through the same level of targets and are awarded the same level of base pay.

Company promoters may however get different bonuses based on their sales directly from the brand itself.

As mentioned before, the store manager is impartial in his behavior with all employees in the store.

They work directly with appliance managers to ensure that targets are met and salesman are treated accordingly without partiality.

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Questions 9-10

9. How does Manglam Electronics manage records and filings?

10. Why can’t records and files be managed and store online?

• Proper sales records are maintained by the appliance managers that are segregated based on seasons and further divided based on sales made by individual salesman.
• Entry and exit registers are maintained to track timings of the employees in the store.
• Sales receipts are properly filed and kept for future audit and reference.

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Manglam Electronics record daily transactions and other details online but has required formally to keep written records and data for reference.

This may increase work and bring inefficiency and further complicate administration but greatly aids in audit and future reference.

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Questions 11-12

11. Are there any standard processes in place to deal with work at the store?

12. Is the process to deal with customers flexible and changed as and when necessary?

• Once a potential customers enters the store premises, they are welcomed and hosted by the PRO (public relations officer) at the front desk.
• PRO is tasked with getting information regarding the kind of appliance the customer is in need of.
• After initial conversation, PRO hands over the customer to any one of the many different salesman available for further interaction and sale.

No, Manglam Electronics follow the same process to deal with customers irrespective of circumstances. For example, no salesman can directly approach customers until and unless they are called upon by the PRO at the right time.

In the same manner, salesman are required to assist the customers on their own unless the customer explicitly asks to meet with one of the managers present at the store.

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Conclusion and Key Learnings

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• Max Weber’s Ideal Bureaucracy is an administration that follows all 6 principles (Authority Hierarchy, Formal Rules and Regulations, Specialization, Impersonality, Career Orientation, and Formal Selection).
• At Manglam Electronics, we learned that while some principles are followed, not all are in practice. We conclude that this is due to the type of their business and lack of need to do so.
• Authority Hierarchy, Formal Rules, Specialization, and Impersonality increase efficiency and consistency at Manglam Electronics.
• Proper processes without deviations allow application of procedures uniformly across all situations.

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Thank You.

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