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Difference Between. BOSS Drives employees Depends on authority Inspires fear Says, “I” Places blame for the breakdown Knows how it is done Uses people Takes credit Commands Says, “Go”. LEADER …Coaches them …On goodwill …Generates enthusiasm …Says “We” …Fixes the breakdown
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Difference Between BOSS Drives employees Depends on authority Inspires fear Says, “I” Places blame for the breakdown Knows how it is done Uses people Takes credit Commands Says, “Go” LEADER …Coaches them …On goodwill …Generates enthusiasm …Says “We” …Fixes the breakdown …Shows how it is done …Develops people …Gives credit …Asks …Says “Let’s go”
Mediocrity is excellent to the eyes of mediocre people ~Joseph Joubert The Effective Excutive
The Effective Executive ~Peter F. Drucker The Effective Excutive
Executives who do not know how to make themselves effective in their job and work set the wrong example. • Effectiveness as an executive demands doing certain things – and fairly simple – things. The Effective Excutive
Effectiveness can be learned • The knowledge worker cannot be supervised closely or in detail. He can only be helped. But he must • direct himself, and he must direct himself toward performance and contribution, that is, towards • effectiveness. • I have called “executives” those workers by virtue of their position or their knowledge to make decisions in the normal course of their work that have significant impact on the performance and results of the whole. (Plan, Organize, Integrate, Motivate, and Measure - MOPI) The Effective Excutive
The experience of the human race indicates strongly that the only person in abundant supply is the universal incompetent. The Effective Excutive
Five habits of the mind to acquired to be an effective executive: 1. Effective executives know where their time goes. 2. Effective executives focus on outward contributions. 3. Effective executives build on strengths – their own strengths, the strengths of their superiors, colleagues, and subordinates; and on the strengths in the situation, that is, on what they can do. They do not build on weakness. They do not start out with the things they cannot do. 4. Effective executives concentrate on few major areas where superior performance will produce outstanding results. 5. Effective executives, finally, make effective decisions. The Effective Excutive
I Know your time • They start by finding out where their time actually goes. They consolidate their “discretionary” time into the largest possible continuing units using three-step process: • (i) Recording time • (ii) Managing time, and • (iii) Consolidating time. • This is the foundation of executive effectiveness. The Effective Excutive
I Know your time • Time is totally perishable and cannot be stored. • All work takes place in time and uses up time. • Effective executives are distinguished by their tender loving care of time. • People are time-consumers. And most people are time-wasters. The Effective Excutive
I Know your time • Senior executives must take time out to ask: • “What should we at the head of this organization know about your work? • What do you want to tell me regarding this organization? • Where do you see opportunities we do not exploit? • Where do you see dangers to which we are still blind? • What do you want to know from me about the organization?” • Without this the knowledge people either lose enthusiasm and become time-servers, or they direct their energies toward their specialty and away from the opportunities and needs of the organization. The Effective Excutive
I Know your time • Identify the time-wasters • Time-wastes often result form overstaffing • Work force that is too big for effectiveness… one that spends too much time “interacting” rather than working • Reduce the amount of meetings • All effective executives control their time management perpetually. • Time is the scarcest resource, and unless it is managed, nothing else can be managed. The Effective Excutive
II What can I Contribute? • The effective executive focuses on contribution. • The man who focuses on efforts and who stresses his downward authority is a subordinate no matter how exalted his title and rank. • But the man who focuses on contribution and who takes responsibility for results, no matter how junior is in the most literal sense of the phrase, “top management.” He holds himself accountable for the performance of the whole. The Effective Excutive
II What can I Contribute? • Contribution for every organization needs performance in three major areas: • (i) direct results • (ii) building values and their reaffirmation • (iii) building and developing people for tomorrow. • If deprived of performance in any one of these areas, it will decay and die. • What can I contribute’ is to look for the unused potential in the job The Effective Excutive
II What can I Contribute? • Executives who do not ask themselves: ‘What can I contribute?’ are not only likely to aim too low, they are likely to aim at the wrong things. • The focus on contribution, by itself supplies the four basic requirements of effective human relations: • communications; • teamwork • self-development; and, • development of others. The Effective Excutive
III Making Strength Productive • To make strength productive is the unique purpose of the organization. It cannot overcome the weaknesses with which each of us is abundantly endowed. But it can make them irrelevant. Its task is to use the strength of each man as a building block for joint performance. • …no executive has ever suffered because his subordinates were strong and effective. The Effective Excutive
IV First Things First • If there is any one ‘secret’ of effectiveness, it is concentration. Effective executives do first things first and they do one thing at a time. • An organization needs to bring in fresh people with fresh points of view fairly often. If it only promotes from within it soon becomes inbred and eventually sterile. The Effective Excutive
IV First Things First • There are always more productive tasks for tomorrow than there is time to do them and more opportunities than there are capable people to take care of them — not to mention the always abundant problems and crises. A decision therefore has to be made which tasks deserve priority and which are of less importance. The only question is which will make the decision — the executive or the pressures. The Effective Excutive
IV First Things First • Courage rather than analysis dictates the truly important rules for identifying priorities: • pick the future as against the past; • focus on opportunity rather than on problems; • choose your own direction — rather than climb on the bandwagon; and • aim high, aim for something that will make a difference, rather than for something that is ‘safe’ and easy to do. The Effective Excutive
V The Elements of Decision-making • Effective executives…want impact rather than technique; they want to be sound rather than clever. The Effective Excutive
V The Elements of Decision-making • The truly important features of the decisions…made are neither…novelty nor…controversial: • the clear realization that the problem was generic and could only be solved through a decision which established a rule, a principle; • the definition of the specifications which the answer to the problem had to satisfy, that is, of the ‘boundary conditions’; • the thinking through what is ‘right’, that is, the solution which will fully satisfy the specifications beforeattention is given to the compromises, adaptations, and concessions needed to make the decision acceptable; • the building into the decision of the action to carry it out; • the ‘feedback’ which tests the validity and effectiveness of the decision against the actual course of events The Effective Excutive
V Effective Decisions • A decision is a judgment. • It is a choice between alternatives. • It is rarely a choice between right and wrong. • It is at best a choice between ‘almost right’ and ‘probably wrong’ — but much more often a choice between two courses of action neither of which is provably more nearly right, than the other. • Unless one has considered alternatives, one has a closed mind. The Effective Excutive
V Effective Decisions • There are three main reasons for the insistence on disagreement. • It is, first, the only safeguard against the decision-maker’s becoming the prisoner of the organization. • Secondly, disagreement alone can provide alternatives to a decision. • Above all, disagreement is needed to stimulate the imagination. • The effective decision-maker, therefore, organizes disagreement. …Disagreement converts the plausible into the right and the right into the good decision. The Effective Excutive
V Effective Decisions • Executives are not paid for doing things they like to do. They are being paid for getting the right things done — most of all in their specific task, the making of effective decisions. The Effective Excutive