Organizational effectiveness considerably depends on the morale of its work force. Morale is the enthusiasm with which workers as individuals and as groups respond to their work situation and requirements. It is a state of healthy balance in the organization in which people make their respective contributions to achieve their set goals, maintain their sense of worth besides developing their abilities, knowledge and skills. Every organization should have personnel policies in order to accomplish the objectives of the personnel as well as the organization. Periodic updating of personnel policies is essential to keep pace with the changing times to avoid managerial stagnation of personnel policy. It is found that to attain goals, factors like men, money, materials and machines are involved, out of which man power is the most important. The relationship between the employer and employee is an integral part for success of any organization. Various interactive behaviors such as inter personal behavior, group behavior, use of power and authority, leadership, communication, conflict and control are the significant factors which affect the climate in an organization, thus, influencing productivity.

Organizational effectiveness considerably depends on the morale of its workforce. Morale is the enthusiasm with which workers as individuals and groups respond to their work situation and requirements. It is a state of health and balance in the organization in which people make their respective individual and group contributions to the achievement of its goals, maintain their sense of worth, in which people develop their abilities, knowledge and skills (Agarwal, 1983).

Morale is generally described in terms of high and low. High morale exists where people have favorable attitude towards their superiors, peers and subordinates, their job, management policies and practices and their company; and where these attitudes are less favorable, morale is said to be low (Agarwal, 1983).

According to Yoder, "Morale is a feeling, somewhat related to spirits, decors enthusiasm or zeal. For a group of workers morale, according to a popular usage of the word, refers to the overall tone, climate of atmosphere of the work, perhaps vaguely sensed by the members. If the workers appear to feel enthusiastic and optimistic about group activities, if they are emotional about their job, if they are friendly with each other, they are described as having a good or high morale. If they seem to be dissatisfied, irritated, cranky, critical, restless and pessimistic, they are described as having poor or low morale"

Viteless defines morale as a "willingness to strive for the goals of a particular group." According to Mooney, "morale is the sum total of several psychic qualities which include courage, fortitude, resolution and, above all, confidence."

Leighton (1949) says, "morale is the capacity of a group of people to pull together persistently and consistently in the pursuit of a common purpose".

Management Research Journal, Textile Industries, Management Policies, Morale Surveys, Indian Textile Industry, Human Resource Development, Organization Theory and Behavior, Organizational Culture, Interpersonal Behavior, Goods and Services.