It is a myth that anyone can become a good manager merely by reading a cheap paperbook book on the subject. However, men and women in both the civilian and military sectors of our economy can improve their managerial skills by knowing and following proven principles of management.
The primary goal of management is to balance effectiveness with efficiency. Generally, however, when one is stressed, the other suffers. For example, a bank may want to effectively serve its customers by having many tellers on duty at all times. However, tellers are expensive. If some are idle (too many on duty) then costs increase. That is bad management. Effectiveness has been increased, but efficiency has been decreased. Similarly, managers of retail outlets need lots of cashiers to accommodate customers who are in lines attempting to purchase goods, but how many are actually required?
In the armed forces, officers also must weigh the needs of effectiveness and efficiency, though because of the nature of military missions effectiveness is usually the overriding consideration in the decision-making process.
Once managers understand the inverse relationship between effectiveness and efficiency they must focus on four principles of management that should be part of their skill sets. They are:
1. Planning. This is a continual process that can be separated, roughly, into three categories:
~ Short-term plans cover a fiscal year. They set forth goals, objectives and resources for the next 12-month period. A good example of a short-term plan is the organization’s annual budget.
~ Mid-term plans are somewhat more general, and they cover years 2 through 5. They are the organization’s “best hopes,” for the near-term. They are based on past performance, generally in the areas of sales and profit increases.
~ The long-term plan is for the period that is 5+ years in the future. It is even more general than the mid-term plan. The U. S. Department of Defense continually revises a document called the Five Year Defense Plan (FYDP), which is the long-range plan for that important government agency.
2. Organizing. A business or government agency can organize itself into departments and divisions according to functions, geographic areas, product lines, or customers. Hybrid organizations are also possible. Effectiveness and efficiency are important considerations.
3. Leading. Management can be thought of as accomplishing tasks through people. A good manager continually tries to get employees to always put forth their best efforts through motivational programs, pay and benefits, promotions, recognition and other factors.
4. Controlling. This does not mean “controlling” people; rather, it means continually measuring the organization’s progress in meeting goals that have been set forth in the short-, mid-, and long-term plans. Sales and profit goals are good examples. If these goals are not being met, perhaps the product line or prices need to be changed. Maybe products are not selling because they are obsolete (CRT-type computer monitors, for example). Good managers must always be aware of how well the organization is meeting its goals, and they must be prepared to immediately institute corrective action.
Accredited colleges and universities offer courses entitled Principles of Management or Introduction to Management. These courses will expand upon the principles that I have outlined in this short article. Take one of these courses to learn more about management.
By: Gary Jacobsen
