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About management |
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The six
management building blocks can be regarded as being the
most important fundamentals of the management profession.
Each building block in fact forms a separate angle when
managing an organisation. Before we discuss the specific
properties of these building blocks in the following
sections, it is important that we discuss at greater length
the cohesion between the building blocks from a management
perspective.
The core of management is, after all, integral management
or, in other words, keeping all building block balls in the
air permanently.
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Aspects of management |
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“It’s more important to do the right things, than doing
the things right”. A statement by Michael Porter that,
basically, indicates that there are multiple aspects
when managing to which we must pay attention: |
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- In the first place, 'doing the right things' is
involved. Which results are we aiming for? What is the
added value for our customers? (business results.) This is
the effectiveness aspect.
- Then 'doing the things right' is involved. How can we
best deploy people and resources to achieve the
contemplated results? (business resources.) This is the
efficiency aspect.
- A third aspect is the capacity to learn that
organisations have (business rules). Effectiveness and
efficiency is only a temporary phenomenon in a quickly
changing world. An organisation must be permanently
learning and improving to ensure it stays effective and
efficient (doing things better).
- The last aspect that is becoming more and more
succinct in particular because of the digitalisation of
society, is the question related to where the organisation
is at in the many business chains. What is our core
business? What do we actually do ourselves and what will
be left for others to do (letting things done).
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We can see that
the building blocks can be ordered from a management
perspective. Adding chains as an additional building block
seems to be justifiable because of the emergence of the
network society. Organisation borders are becoming diffuse
and partners are becoming more and more a part of the
management spectrum. There is, for that matter, no consensus
regarding the weight of this aspect: INK does not explicitly
identify partners/purchase while EFQM does. In addition, a
separate reference model (ISPL; Information Services
Procurement Library) has been created for this domain. |
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Management aspect |
Building block |
Oriëntation |
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1. Doing the right things
2. Doing the things right 3. Doing the things better
4. Letting things done |
Resultats People and
Resources Structure and Culture Chains |
Effectiveness Efficiency
Ability to learn
Core competences |
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Management levels |
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Strategy is missing as a management building block from
the above overview. This is due to the fact that
strategy is not an aspect that can be “managed”.
Strategy is a component of management.
We can find three management levels in
most larger organisations: |
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1. Strategical 2. Tactical
3. Operational |
Point Plan Perform |
Scope 3-5 years Scope 1-3
years Scope < 1 year |
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The strategy
building block matches the strategic management level.
Strategy affects all building blocks; in fact, it goes right
through them. We can show the relationship in a management
framework. |
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The strategic management level is also sometimes referred to
as “directing” the organisation. Which results do we want to
deliver the coming 3 to 5 years to which customers and on
which markets? How do we want to deal with suppliers and
chain partners and which position should we have in the
production and marketing chain? A new direction is being
determined for the organisation. The issues expressly
involved with this is what we must do internally to ensure
we can attain the new external direction. Which type of
people do we need? Which new technological resources do we
need and should we adjust the structure and culture? A
direction is given on a strategic level to all other
building blocks.
The tactical management level also affects all building
blocks but from a different approach. Tactical management is
sometimes referred to as “setting up”. In the first place,
tactical or multiple-year planning (1 to 3 years) is
involved. Allocation takes place within this context of
people and resources to organisation units that have been
given certain result targets that must be met. In the second
place, (re)setting up the organisation is involved in terms
of (process) structure or culture.
All building block are managed separately (within a term of
less than a year) on an operational management level within
the frameworks that have been set at the tactical level. |
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