The Strategist

Four key features of modern management

05/01/2020 - 03:26

The largest modern corporations are realizing the increasingly vital importance of management. The challenges that Facebook, Apple, and Google are facing now essentially boil down to management issues. All these companies have developed revolutionary technologies and are now striving to maximize the social and economic impact of these innovations, which is also among the tasks of managers. Management is important, but do we really know how a modern manager should look like?

In the last century and even earlier, business theories sought to bring a scientific foundation to this field - thanks to this, current managers are better educated. They study in business schools, constantly improve their skills, draw the latest ideas from books, magazines and online seminars.

The problem, however, is that management has become an activity for the elite, although it needs an influx of young blood for further development. However, professional managers with an MBA degree are interested in protecting their estate from uninvited guests.

The ugly truth is that a factory worker who proposed a good idea about the optimal use of resources is unlikely to be heard. In many organizations, managers simply do not allow talented people to the administrative heights.

But the situation is gradually changing. There is no doubt that management is gradually being rebuilt to maximize the accumulation of new resources.

Is it possible to implement it in your organization? Yes, but you need to recognize the four key features of effective management.

1. Natural

Effective management has nothing to do with confusing reports, labyrinths of tables, and meticulous measurement of secondary parameters. All this is also important, but we must not forget that management is not only a science, but also an art. The heart of management is people, and they need to be given the freedom to control themselves, to reveal their potential and individual characteristics.

2. Open

One of the most important business paradigms of the last decade is open innovation. A classic example of such a productive approach is demonstrated by Procter & Gamble, where they willingly implement the ideas of customers, suppliers and other external advisers.

No company has a monopoly on wisdom, including management wisdom. The wider the doors open for management ideas, the higher the likelihood that powerful management will become a competitive advantage for the organization.

3. Freedom from hierarchy

In the 1990s, Tom Peters (an American writer and business guru) announced the near extinction of mid-level managers, calling them "baked geese." But look around - and you will see that these arrogant "middle managers", or more simply - ballast, are alive and well, including in large corporations. Any manager should justify his stay in the position for the benefit that he brings to the company. The very fact that he takes a place in the hierarchy does not mean anything.

4. Use of technology

Often advanced technologies are used everywhere in organizations - from production to interacting with customers and users, but not in management! Although, in fact, technology gives managers room for creativity, they make management more global, interactive and bold than ever.

In addition to the "reconfiguration" of management, which will make the company more efficient, one should think about the very nature of organizations. Organization is the “context" within which management is carried out. Management and organization work in tandem and should not be static. Organizations are constantly changing - at least, must change - the form and vector of action, and only in this way can success be achieved.

Based on “Haier purpose. The real story of China's first global super company” by Hu Yong and Hao Yazhou