Organizational Management: Methods, and Essential Features

To thank laborers for good work or profitable incentive schemes is a long way to the hearts of the staff, which requires a long time period and a lot of effort. In this case, a key figure is an organizer, who constructs a certain business management from a multitude of disparate elements. The main emphasis consists of setting and decomposing goals, selecting performers and distributing duties.

Need for Organization Management

Let’s suppose there is a company that has stopped in its organizational development. All production processes are carried out and, at the expense of this, high-performance indicators are ensured. Modern corporations work in a constantly changing milieu. Obviously, in the absence of changes after a while, the firm's policy will cease to be optimal.

Finally, those players who do not rely on the intuition but act in accordance with the dynamics of external factors will benefit. So, the firm’s survival depends on a coherent metamorphosis. There are three essential ways of qualitative response:

  • Mechanical growth means constant capacity building. Frequently, the staff is hired only to solve emerging problems. The advantage of such approach lay in minimal costs. As disadvantage serves the hope that newly recruited collaborators will successfully resolve conflicting issues. Quite often a numerically grown company becomes simply unmanageable.
  • Expert opinions depend on the qualifications of the specialists involved. In most cases, a functional view, a focus on achieving high scores, and sometimes just a desire to guess the wishes of senior director make them not the best advisers.
  • A scientifically based methodology is guided by the application of system approach. Subgroups and the environment are considered in their interaction.

Generally, the indicated type of supervision operates within the boundaries of both internal and interactive marketing. Organizational management includes:

  • Creation of progressive means of ideological command administration
  • Adjusting the feedback from staff about the adoption of corporate governance and culture
  • Working out and control over observance of democratic style in dialogue with clients and colleagues

In practice, it is confirmed that up-to-date information support tools usually leads to the following systemic effects:

  • Overall improvement in CPM and monitoring at all levels
  • Reducing the reaction time to modifications in the milieu
  • Strengthening an ability to implement specified strategies
  • Accumulation and transfer some knowledge
  • Increasing company’s value

Methods of Organization Management

Modeling business serves as the core of modern supervision. Similar schemes are designed to accurately describe the key aspects of any company. With their help, strategic and tactical control loops are unified, while structures and operations are optimized.

Specialists distinguish between two variants of process regulation. Soft one focuses on the debugging of interfunctional ties and cooperation units. We are talking about the establishment of vertical and horizontal links, as well as the introduction of appropriate algorithms for personnel.

Among marketing modules, you can specify retention of clients, the suggestion of constancy, data about the price and cost of services, or quality assurance. Communicative purposes involve:

  • Organizing the first contact and developing positive thought forms
  • Formation of sustainable and long-term relationships with the client
  • Advertising message format
  • Promotion of distribution
  • Customer support after the purchase of commodities

The severe way is based on periodic changes between the corporation elements or the introduction of new functions for wage-earners. As a rule, it is the result of serious shortcomings and chronic failures.

Features of Organization Management

When designing structures, it is significant to observe the rules of their construction. The basic principles include the next:

  • Structural blocks should be oriented to wares, market or a buyer, not to duties
  • Basal points of any firm are target teams of specialists
  • Focus on the minimum number of administration stages and a wisely time-management
  • Conjugation of departments by objectives and solved problems
  • Each laborer must demonstrate an initiative

Excessive increase in the number of subordinates leads to enlargement of managerial responsibilities, which weakens control over work and makes it difficult to detect miscalculations. This brings a super-centralization of power, additional administrative expenses as a result of controversies between the upper and lower offices of the pyramid. In order to determine the necessary norm of controllability, two approaches are mainly applied:

Experimental and statistical one is grounded in a comparison of the staff number in the analyzed firm with the number of coworkers in a similar edifice. An akin method is simple enough, does not require special charges and has received the greatest distribution. It identifies typical states by analogy with advanced corporations. At the same time, a similar tool cannot be attributed to scientific evidence.

The calculation and analytical means consider factors such as the job nature, the cost of working time, the amount of information and the number of relationships.

Thus, the lack of systemic enterprise management leads to improving only some local processes even through optimization of business procedures. Funds are spent, but it cannot be seriously said about optimality. A properly developed model opens up opportunities for toppers to assess in practice the patterns of crisis phenomena they may encounter, account steps to overcome them and make informed decisions on restructuring activities.

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