We are all managers in fact, because we manage ourselves. We learn this either through life experience or through professional training—when we want to devote ourselves to managing others professionally. What does this entail, and what are the latest trends in management?
Management as the art of managing others is a professional discipline, but it is certainly not a modern invention. Even in ancient and medieval times, rulers and military leaders needed effective guidance on how to manage armies efficiently. Later, books were even written to advise monarchs on how to rule and administer their territories.
History of management – even powerful owners need managers
Management as we understand it today began to be discussed at the end of the 19th and beginning of the 20th centuries, with the first theoretical works on the subject appearing around 1920 (by Henri Fayol and Alexander Church). In the 1930s, classical management, sometimes referred to as scientific management, still prevailed. Its main theme was rewarding employees in proportion to their productivity, usually through piecework wages. The training of managers and the precise definition of the organizational structure of the company gradually came to the fore. From the late 1970s, there was more talk of involving employees in the management of the company and improving the qualifications of workers.
At that time, all larger, successful companies were headed by strong personalities (such as Henry Ford or, in our country, Tomáš Baťa). They were owners and also acted as managers. However, this proved to be a major weakness when they decided to leave the company. Their business was left “without a captain” and was therefore threatened by crisis. It thus proved to be more prudent for the future to separate the two positions.
In addition to the owner, the manager also gained an important voice in the company—as an experienced and interested person capable of representing the owner in all respects (development then continued, and top managers separated themselves from other line managers). At that time, owners and managers also began to cooperate more with the employees themselves. Finally, from the 1980s onwards, the use of computer technology and robotization began to influence the sphere of management.
What does management mean? The hand that guides
The word “management” is a compound of the Latin terms “manus” (hand) and “agere” (to act, to do). In English, the verb “to manage” means to achieve, direct, lead, administer, or govern. In short, management in its general sense represents the set of all activities necessary to ensure the functioning of an organization. Every manager performs four functions that are essential to achieving the company’s predetermined business goals: planning, organizing, leading people, and controlling.
Management levels
Depending on the field, there is, for example, human resources management, healthcare management, IT management, etc. Depending on the level, we distinguish between three types: the lowest line management (operational managers, such as workshop foremen), middle management, and top management (senior managers who take on some of the responsibility of the owner).
Modern trends in management? More support and entrepreneurial thinking
Theory is one thing, real life is another. Global surveys of companies show that the business environment is changing ever more rapidly and is also very, very competitive, which is why traditional management methods are no longer sufficient. There is increasing pressure on every manager’s knowledge, skills, competencies, and communication. If they want to be successful in their field, they must expect to:
- less control, more support
Until now, managers have been accustomed to making decisions and setting deadlines more or less on their own. They issue orders and monitor their subordinates to ensure that they are carried out. But now it is time for their teams to take responsibility. The main role of a manager is therefore to set the direction and support change, but not to try to control everything at all costs.
Many global companies are going even further and introducing the trend of so-called holacracy, i.e., building a business without a traditional hierarchy. It involves setting rules so that the company manages itself as much as possible. The system is based on continuous improvement, good communication, and progress in repeating cycles.
- think like a businessperson
When faced with a problem, managers try to look at it through the eyes of an entrepreneur. This allows them to see alternative solutions more quickly, accept potential risks, and build relationships more diligently.
- use energy management
Time management is fine, but it’s actually useless if the manager is exhausted. Energy management teaches you how to work with energy and prevent exhaustion, poor concentration, and reduced productivity.
The Future of Management
Despite these changes, managers remain key employees in any company that wants to successfully meet the demands of the modern business environment. That is why modern management methods are the be-all and end-all of MBA studies. And it is still true that good managers should definitely have leadership qualities, but leaders do not always have managerial ambitions.
