К основному контенту

It's crucial for managers to know the difference between operations and strategy! Are you a manger? Check yourself then:

 
     Different management tools ( management of quality, staff performance evaluation, exporting and importing, partner's collaboration, engineering, etc) that we use to enhance and improve the operational effectiveness of a company, very often CAN'T provide a sustainable profitability for the company. Did you faced or observed such situations in the company you run or work in?

     If yes, then I thing the main cause of that is based on your manager's capability to distinguish operational effectiveness and strategy. Operational management is different from the strategical one. The operational processes and tools have another purpose then the strategic ones.

    Strategical management is about choosing what we want to achieve and why? "Strategy is more about choosing a unique and valuable position rooted in systems of activities", - affirmed Michael E. Porter in the "Harvard Business Review". Strategy management is a decision making process, based on companies potential (resources, culture, etc) and market demand or tendencies. Managers take the general decisions about their company's direction of development in long run and what result should be achieved in each department or sphere of the company. For example if your company have a major goal to extend the product in Eastern Europe every single department should align their activities for this major goal. Thus, strategy requires continuous discipline and clear communication. General management should define and communicate the core company’s unique position, make trade-offs, and forge fit among the various activities of the company. Further, the leader should decide which changes in the industry and customer demands, is the company going to respond to. The leader should be able to teach others in the organization about strategy - and to say no sometimes.

    Operational management is about how to do that? "Operational improvements have resulted, but rarely have these gains translated into sustainable profitability",- stated Porter. Because operational management is more about processes that can assure result, then a specific result,defined by strategy. Let's say, by the strategy of extension in Eastern Europe the strategy established to sale your product at least in 2 towns of each Eastern Europe state in total cost of 50 000$ a month. Your marketing department analyse potential in each country and each city, your business development department is developing action plan of negotiations with potential shops or markets, your logistic department assure the supplying channels and your quality management department will control the quality of the product before the delivery and after. All the main decisions regarding their particular goals are also part of the strategy, but how they will do that- is part of operations. Let's say, logistic department is looking for the best way of delivery. In this case research, calls, negotiations, contracts - it will be part of operations.

     In conclusion, Strategy should guide employees in making choices what we want to achieve, tactics or operations is more about how we will achieve this.

Комментарии

Популярные сообщения из этого блога

Thanking the ones, that bring the impact in my life!

Hey, periodically I write about people that I feel very thankful, because they contribute to who I am today! They make me feel happier and show me a better world and many interesting opportunities around! Saying this, I would like to  mention in this article:

1. Inna Gurinova - is one of my best friends from former colleagues, that was always super straight about things and honestly presented her point of view. She is an amazing mom and friend, ready to give you a hand of help, good advice and a doze of positive motivation! I always felt that Inna can come up with a strong opinion about things, having wise arguments behind it!  No matter how far we are now, I am always feeling very happy when we talk  or call each other!

2. Zanda Saulite - is my today's colleague from Swedish courses and neighbor. I like her critical mind and very sharp humor! Zanda always gives  supportive hints during our experience of studding new language, since she knows it quite better then me. She can als…

Trust in yourself is a habit!

Lots of people would be able to achieve better results in their daily life, if they trusted themselves! Unfortunately, in many cases we do not believe 100% that we can achieve what we want. Our thoughts stop us to succeed!
   The good news is that we can change this! Trusting yourself is a habit and could be developed through repetition! Since we feel unsure in 2 cases:
1) when we experience something for the first time, we deal with something unknown.
2) when we experienced something negative previously  and have to repeat similar experience.

For example, when you have to talk in front of the audience, your emotions defined by previous experiences. If you didn't had the supportive audience before - you will feel very insecure or even stressed. Have you ever noticed that people, that have been supported by their family in childhood, feels more self confident and sure when they talk about something or take actions? It's because they have positive experience and are not afra…

Хочу построить новое отношение к лидерству, которое будет развивать наше общество и принесет пользу, вы со мной?

Несмотря на то, что о лидерстве (с англ. leadership) написано и рассказано много, тем не менее, то качество лидерства, которое мы наблюдаем сегодня в политике, в бизнесе, в школах и других сферах, оставляет желать лучшего. Мы видим лидеров, которые верят лишь в свою правоту, но которые мало пекутся об общем благе. Мы видим лидеров, которые проплачивают СМИ, лишь бы их правда была услышана, но которые не пекутся о милосердии и процветании общества. Мы видим лидеров, демонстрирующих, что они знают больше или , вернее, что (по их мнению)лучше, но не пытающихся поддержать и научить других. Мы видим тех, кто готовы спорить, но не желающих понять других. Мы видим тех, кто готов обвинять в неудачах кого угодно (предшественников, последователей), но не готовых взять ответственность на себя разрешить создавшуюся ситуацию!
   Это ли те лидеры, которым мы хотим доверить свое будущее и за которыми мы хотим идти?
   Лично я хочу более благоразумных лидеров, тех, которые не просто готовы предп…