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Good business management equals good business. Period. With consistency, professionalism, proper planning of strategies, and alignments with operations, you can run a successful business.The challenge is to balance effectiveness and efficiency when determining how to get things accomplished, and making the decision as to when it is appropriate to “do things right” or “do the right thing”.
Effectiveness is more about goal setting, and efficiency is more about the process of attaining the goal.
If the goal is to go to Lake Taupo, it is useless if you arrive at Lake Wanaka, no matter how efficiently you have prepared for the trip. Sure, the journey may have been great, but did you achieve anything?
Efficiency alone will put your company on the fast track to bankruptcy
An efficient business will “do things right” and focus on HOW and WHEN it can accomplish tasks with a minimum of time and resources. An efficient business aims to achieve the least waste in what it does. Nothing wrong with that, but this not enough and often not effective.
Effectiveness alone “may” allow your company to survive
An effective business “does the right thing”, spends a lot of time deciding WHY and WHAT it should do, and will never “rearrange the deck chairs on the Titanic,” no matter how quickly and efficiently they can do it. However the company will not reach its maximum potential if it is inefficient.
EFFECTIVENESS and EFFICIENCY together will almost guarantee success
The efficient company is taking the fast track to wherever it is going, be that a good or bad direction. The effective company is at least going in the right direction, even if it is not getting there very fast. The company that can do both will grow and take business away from companies that only do one or the other.
How marketSMARTS can help you improve management effectiveness
By conducting a Health Check, Business Review or Gap Analysis we can get you the fast track to finding those sqeaky wheels, and rectify get your business moving forward again.
Balance effectiveness with efficiency . . . bridge the gap between strategic direction and tactical operations with built in measurement criteria.
Refocus on the end and not just the means . . . it’s easier to look at how well you are accomplishing a task than to determine if that task really helps you reach your goal. The result can be disaster.
Recommend resources, systems or process . . . we have access to software, people and admin resources through partners and alliances on a national basis.
People management style . . . understanding the difference between leadership and management, the make-up of your team and getting the best out of them.
Review your business plans across 3 levels of management
senior level . . . strategic leadership and direction
mid level . . . tactical interpretation of strategy into day to day management
low level and other staff . . . day to day management is effective in achieving goals and not just following policy or meeting paperwork goals. Every employee should know what the company is doing and why, and how his or her work helps reach those goals.