Far-reaching changes have been taking place in the economy over the past twenty years. Growth and diversification mark the long-term character of the business climate. Technological improvements have been occurring with startling rapidity. New materials, new products and processes present a host of challenging opportunities to the individuals and the firms ready to exploit them. At the same time, however, short-ages in skilled manpower are prevalent, the costs of doing business have increased sharply, and there is keen competition in every aspect of enterprise.
Management consultant
Louis Alexander Allen (born Oct. 8, 1917) is an American management consultant and management author, known from his early work on management and organization.
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Objectives are goals established to guide the efforts of the company and each of its components. Effective management is always management by objectives. An organization can grow and change in an orderly and progressive manner only if well-defined goals have been established to guide its progress. Not only must there be an objective for the total organization, but, since each component can accomplish only limited work, there should be spelled out division and departmental goals which serve as specific guides for subordinate units. These enable individual managers to operate with maximum freedom but always within the framework of over-all company objectives. Unless such goals are established, there is likely to be haphazard activity, uneconomical commitment of capital funds, poor utilization of people, and mediocre operating results over the long term.
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Delegation is the dynamics of management; it is the process a manager follows in dividing the work assigned to him so that he performs that part which only he, because of his unique organizational placement, can perform effectively, and so that he can get others to help him with what remains. How can he best share his burden? First, he must entrust to others the performance of part of the work he would otherwise have to do himself; secondly, he must provide a means of checking up on the work that is done for him to ensure that it is done as he wishes.
The manager is one of the great unknowns in business. Although perhaps the most common word in the corporate lexicon, the term "manager" meets with little agreement as to nature, meaning, or scope. This is all the more surprising when we consider the vital importance of precise understanding of this expression to most enterprises. Most company organization charts are studded with dozens of boxes entitled manager of one kind or another. Each such position, presumably, has been assigned management responsibility and authority. In most cases, the performance of the person holding this position is being appraised as a manager and his potential for advancement is gauged against what is assumed to be a management yardstick.
New and dynamic concepts of management and organization are evolving which are a measure of the span and the challenge of the business of tomorrow. These concepts are predicated upon the assumption that management is an identifiable, measurable, and transferable activity and that it can be mastered as can any other skill. Many of the older concepts of management and organization have been put to question and abandoned or replaced. Much of this new thinking has taken place so quietly and unobtrusively, even secretly, that it has not generally been reported. The fact is that some companies consider their methods of management and organization as much a competitive factor as marketing methods, applied research, or new production processes. And often they guard such information as carefully as other classified data about their businesses
The organization... is not an end in itself. Organization, properly designed, can help improve teamwork and productivity by providing a framework within which people can work together most effectively. But we must relate the people to the design. In many cases, the organization structure which has technical excellence is, for practical purposes, quite useless because it is not fitted to the needs of the people it is designed to serve, ft is a lifeless pattern.
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Almost any business manager will affirm that sound organization is highly important to business success. Many will characterize organization as the foundation upon which the whole structure of management is built. Unfortunately, there are many differences of opinion as to the precise nature of organization, as of other aspects of management; and there is even less concurrence on what specific work must be accomplished in organizing.
The manager is a new kind of professional, destined to take his place with the scientist and the educator in shaping the society of the future. Expert in a complex, difficult, and most demanding kind of work, the role of the professional manager is critical and his potential is unlimited. In the years ahead, competence in management will mark the difference between the leaders and the also-rans. This will hold true not only in business, but also in government and education, and in all those situations in which people wish to maximize their efforts for their common benefit.