Peter Druker (1909-2005), one of the most influential thinkers and writers on the theory and practice of management, defined it as the organization and coordination of an enterprise’s activities in order to achieve defined goals.
The concept of organizational management dates back about a hundred years, when the likes of Frederick Taylor, Henri Fayol, and Frank and Lilian Gilbreth developed structures and processes, still present in many businesses today, geared toward efficiency, reduction of production costs and standardization of products. To simplify, management was about “getting things done right.” While this way of understanding management was in line with the business environment and business models of the time, today, in a volatile, uncertain, complex, ambiguous and digital (V.U.C.A.D.) world of constant change and innovation, it risks being anachronistic.
Indeed, over time, the business system has shifted the focus from the what to the who, and what is truly strategic today is knowing how to value people. In addition to adapting one’s business model to today’s environment, the real competitive advantage for companies lies in the ability to invest in a new management model, where human resources occupy a central role.
How?
Less is more. Eliminating aspects such as control, obedience, power, confidentiality, to bring out elements such as trust, passion, freedom, innovation, transparency and accountability can be the starting point.
In other words, it is possible to design a new model of management starting with a clear definition of the fundamental principles on which managerial choices and – cascading down – corporate behavior are to be based.
“Management 3.0” research conducted by the Center on Change, Leadership and People Management at LIUC Cattaneo University1 identifies 7 pillars of the management model:
- Decisions: defining and communicating how to make decisions
- Coordination: align corporate behaviors with the shared leadership style (if I ask for availability I must show availability; if I ask for trust I must give trust)
- Goals: setting short-, medium- and long-term goals is important because to create the future, it is necessary to manage the present
- Information: it is important to share what is needed, although providing additional information makes it easier to understand events
- Motivation: motivated people are the highest performers and have the greatest potential for growth. Therefore, when assigning goals, the traits and characteristics of the people involved must be considered and valued
- Learning: making people grow means accompanying them on a learning journey. Learning is not just understanding things, but knowing how to do them
- Culture: the definition of values guides the behaviors that, by their repetition, create the corporate culture.
Ultimately, now more than ever, knowing how to integrate business and management for organizations is a key success factor. Borrowing the expression of Vittorio D’Amato, Master Division Director of LIUC Business School and creator of the research, “A business model without a coherent management model is a loser, just as a management model without a business model is pure theory. “2
