In the last article, we took a look at the building blocks that you need to consider in order to run a business successfully. We also talk about the Seven Management Concepts. Most of these are incorporated in each of the ten Management Blueprints – you can use to improve your management style.
These blueprints can be applied to a wide variety of businesses and customized to your entrepreneurial style. If you apply the key strategies and concepts found in these blueprints, your business will most likely succeed.
But, before we take a look at these management blueprints, let’s see what makes the Seven Management Concepts are and why are they so important.
Concept 1: Culture
To work effectively, organizations must forge individual employees into a cohesive force. That happens by creating a culture that inspires and motivates people to strive and cooperate for the common good.
Entrepreneurs sometimes ignore this concept to their detriment. But, you should never forget that organizations are cooperative systems that need goal-driven and motivated employees.
Concept 2: Structure
A clear and functional organizational structure is critical for any company. It facilitates clear decision-making, accountability, and communication.
Entrepreneurial businesses are often haphazardly organized around personalities and personal relationships, leading to confusion, information bottlenecks, and lack of accountability.
Visualizing and then defining the key functions and roles required for the organization rapidly improve delegation, communications, and management effectiveness.
Concept 3: Vision
Having satisfied their basic needs, humans are then driven by curiosity and self-actualization. Companies can harness this human energy by creating an exciting vision.
Setting a vision for your business that everyone can both emotionally and logically connect to is a critical component of building a talent-attracting and motivated workforce.
Concept 4: Strategy
Strategic planning allows businesses to focus their resources on the most promising opportunities and to deliberately pursue them while releasing resources by abandoning opportunities that no longer have potential.
I’m sure it comes as no wonder that to run a business, you need effective strategies. But, which ones do you need to apply? Stay tuned for our next articles!
Concept 5: Execution
Business execution requires robust goal setting, the reframing of emotionally taxing situations, and the open and honest search for the truth, however painful.
Execution requires a willingness to stare brutal facts in the face. In goal setting, to say no to most things to be able to do a few. In strategy, to pivot when past decisions no longer serve the business. And in debates, to share and hear painful truths to correct mistakes for the greater good of the business.
Concept 6: Process
The first and oldest management concept is process design. Processes allow you to systemize your business. Whatever you can do based on decades of experience and intuition, you can delegate to less learned and skilled people using effective processes.
Systemizing your business empowers your people to get more done and to be much more successful than they could be if they were to try figuring things out for themselves or emulating others. Processes are a key factor if you want to run a business successfully.
Concept 7: Alignment
Having a vision without an organizational alignment is worthless. Alignment breathes value into the vision: everyone in the company is rowing in the same direction.
By articulating and seeking alignment with an inspiring purpose and vision, business leaders can tap into their employees’ emotional drivers and harness the energy that most companies leave underutilized.
There you have it! This is a quick overview of the seven key management concepts, but if you want to dive deep into each of them, pre-order your copy of Buyable today.
Stay tuned for the next article as we see how these concepts fit together to create management blueprints.