Sail a ship with no clear direction and you’ll end up lost at sea. The same holds true for a business or organization. A clear vision of where you are going and how you are going to get there – known as management strategy – is the hallmark of successful enterprise.
According to BizFluent reporter Jayne Thompson, managers must determine what type of organization they are building and then set protocols for making decisions, optimizing strengths, and addressing weaknesses. Managerial strategy also considers policies and procedures for working with customers, employees, and stakeholders.
While management strategies will vary from company to company, Thompson notes that there are some common elements. Effective strategies consider long-term objectives. Problem-management strategies, for example, “fix the root cause of problems so the business can improve its performance over time, rather than just troubleshooting individual problems as they arise.”
Great strategies also serve as a practical guide to success by establishing “a clear connection between the strategy and its intended objective.” Studying the behavior of competitors and customers to attract new business is another highly effective strategy.
Proper Management Is Key to Success
The most suitable form of management has long been debated. Ultimately, the best management strategies are tailored to each organization’s unique visions and goals. One company may need a straightforward approach, while another might require a combination of various techniques. The Corporate Finance Institute lists several popular management theories:
- Theory X is an authoritarian management style based on the “pessimistic view of employees in the sense that they cannot work in the absence of incentives.” Theory X works best for large corporations with thousands of employees who carry out rote duties.
- Theory Y is a participative management technique for organizations with employees who show “a willingness to learn and are enthusiastic about what they do.” Theory Y holds an optimistic view of employees and “proposes that employees and managers can achieve a collaborative and trust-based relationship.”
- The Scientific Management Theory combines the sentiments of work smarter, not harder with put your money where your mouth is. That’s because working hard doesn’t increase productivity, but simplifying tasks does. Adequate compensation also increases productivity.
- The Systems Management Theory proposes that businesses consist of multiple parts that must work in sync for optimal performance. Managers must “collaborate on different programs to work as a collective whole rather than isolated units.”
- With Contingency Management Theory, managers focus on the variables of organizational structure, such as the company’s size, the technology it uses, and its style of leadership. Adaptation, situational strategy, and flexibility are the hallmarks of contingency management.
With the right strategy, organizations achieve their goals and objectives. The same holds true for adult learners who want to further their careers with a degree in administration. Barry University’s online Bachelor of Science in Administration offers administrative and leadership skills for working professionals.
Learn more about Barry University’s Bachelor of Science in Administration online program.