No doubt, the business world is competitive and business organizations are competing for the right value creation to the clients. Business managers in their bid to achieve their goals and objectives have embraced different types of management to get the best out of the resources at their disposal.
The core function of management in business is to galvanize people to work together effectively to produce goods and services that meet the expectations of their clients.
However, there are clear distinctions in the nature of services offered by business firms globally, hence, the need to leverage the type of management that harnesses their strengths. Furthermore, another factor that influences the kinds of management used by managers is the nature of the employees working in such an establishment.
In this article, we will discuss the types of management that can be used by business managers in achieving their business objectives.
Types of management in business
It is often said that different strokes for different folks, the types of management used by managers vary and they assist them in planning, controlling, and directing the affairs of their firms.
Again, resources range from human resources to financial and technological resources, the managers must demonstrate great managerial skills to maximize the different types of the management process to achieve the right results.
The following are the types of management in business:
The role of strategic management in an organization cannot be overemphasized. It is an approach that manages the formulation and execution of effective business strategies to achieve a competitive edge.
This is a business discipline that is centred on the practical application of sales techniques and the management of the business organization’s sales operation. This kind of management propels the profit generation of a firm.
This manages the process of producing goods and services for the customers. Operation management details everything from production to retail management. The different types of production management aim to transform raw materials into finished products through job production, batch production, or flow production.
This manages the process of planning, organizing, and implementing the marketing campaigns, policies, and strategies to satisfy the demand for the product offerings of a firm to generate profit.
Human resources management
This is responsible for attracting, hiring, training, and managing the right employees that will make the organizational goals of a company a reality. It is also responsible for harnessing the potentials of the entire workforce of a company.
This helps organizations in identifying and assessing the risks that could pose a threat to the growth of the organization and put measures in place to mitigate them.
This type of management oversees the activities and tasks that must be done to maintain the desired level of excellence. It establishes the quality policy, quality control, and assurance.
The nature of the tools used in undertaking the activities of a company is very important because it enhances the efficiency of the workforce. For instance, Sinnaps, an online project management tool will assist business organizations globally to achieve ease of managing every aspect of their business. It is a planning tool that supports effective communication between employers and workers.
The management structure types in organizations are hierarchical, matrix, horizontal, network, divisional, line organization, and team-based organizational structure. The use of the right type of management will aid managers in getting the best out of their team irrespective of their management structure type.
Furthermore, the organization structure of a firm affects which department that has more power, which department is saddled with decision-making. The types of organization in management are the functional organization, projectized organization, and matrix organization.
In a functional organization, people are grouped by their areas of specialization, while in projectized organization, the whole company is organized by projects and the project resources are committed to the project activities.
In a matrix organization, the team members report to their project managers. Also, there is a need to establish a management system to set the policies, processes, and procedures for fulfilling the company’s goals.
The types of management systems are Quality management system (ISO 9000), information security management system (ISMS), standard for occupational health and safety management systems (ISO 45001), and standards for lightweight IT service management.
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Types of management styles in the workplace
The structure of the workplace varies and the managers need to know the right management style that should be embraced to drive their success. The workforce of each organization has its unique strengths and weaknesses.
The onus is on the management to use the strengths to its advantage and improve on the weaknesses to enhance optimum productivity. The following are the types of management styles in the workplace:
Democratic management style: in this, the management team of a firm is always willing to involve their workforce in the decision-making strides. By embracing this type of management style in the workplace, allows mutual respect and trust between the management and workers.
This is because it affords the workers a sense of belonging in the organization. Again, it bestows confidence in the workers thereby allowing them to be responsible for their actions. Furthermore, it encourages them to be innovative in their work.
Autocratic management style: this type of management style is characterized by strong, centralized control with a single source of authority. In this, the flow of communication is from the top to the bottom and the workforce is expected to strictly adhere to the orders.
An autocratic management style is goal-oriented and workers are motivated externally through rewards and penalties. The drawback s of autocratic management styles are the following;
- It causes workers to fear or disdain the management team.
- It warrants a need for constant supervision
- It establishes poor working relationships between the workforce and the management.
Laissez-Faire management style: this is another type of management style where the leaders are hands-off and the workforce is well-equipped to make decisions required to run the business activities. In this management style, the employees are bestowed with total freedom to make decisions.
Also, the employees are required to solve their problems and the management team provides the tools and resources needed by the workers. They offer little guidance to the workers. Laissez-Faire management style can be effective in a workplace that has motivated workers with high expertise and skills. The major drawback is that it can result in poor performance and low productivity.
Different types of project management
Project management is all about quality service to the customers on time and budget. Project managers are required to overcome different challenges in their bid to undertake their projects successfully.
The task of achieving this requires them to uncover the right project methodology that boosts their performance and productivity. The categories of project management often used by project managers are listed below;
Waterfall project management: this is the oldest project management method that involves the project team to work in waves; each step is dependent on the preceding step. Waterfall project management is useful for undertaking a project with predictability, but the major drawback is that it is time-consuming and can result in numerous hang-ups.
Agile project management: this is a faster and more versatile project management solution compared to waterfall project management. It allows the tasks of the project to be broken down into sprints thereby offering the project team a better efficiency.
Scrum project management: it is a faster project management method that allows the project team to work on a small scope over a specific period which is usually a month. Scrum project management is ideal for smaller teams because it allows them to use sprint to achieve their project goals.
Kanban project management: this type of project management focuses on time-based iterations. It is centred on the proper organization of the project tasks to achieve the desired goals by managing how the project processes can be streamlined to save time and resources. It uses the kanban board to monitor the tasks and processes of the project.
Lean project management: this type of project management focuses on the mindset of the clients and how processes can be trimmed to deliver the best, quality, and affordable products for the customers.
Six Sigma project management: this method aims to improve the quality of the output of a project to create a better result for the customer.
PRINCE2 project management: this aims to improve efficiency and minimize risks and errors. It is a detail-focused method that operates by configuring projects into project-based steps that can be undertaken at a time to ensure nothing is left out.
As a project manager, in Sinnaps, you have an effective tool that will aid in planning and executing project activities. It embraces agile and scrum methodologies and it is embedded with the kanban board to monitor the activities of the project. Again, it can determine the dependencies between the tasks of your project to save you a lot of time.
Types of a plan in management
The roles that plan play in management cannot be underestimated; it helps organizations in channeling their resources properly to achieve the desired outcomes. The following are the types of plan in management:
Strategic plan: this defines the framework of the vision of the organization and how to transform it into a reality. It assists a firm to determine the long-term objectives, highlight the action plan required, and the resources that should be mobilized to achieve these objectives.
Tactical plan: this is another type of plan in management that details the tactics that the business manager plans to adopt to accomplish the set objectives in the strategic plan of the organization. It describes in detail the action plans to implement the strategic plan by units within each division.
Also, the tactical plan details resource and work allocation among the sub-units within each division. The tactical plan of a firm should be designed for a short time frame; it can be less than 3 years.
Operational plan: this is usually designed to establish precise action steps that support the strategic and tactical plan of a firm. It is used to administer the day-to-day operational activities of an establishment. Business managers need to put in place measures to manage daily operations properly.
Procurement, supply chain, manufacturing, service delivery, customer service, information technology, quality assurance, and distribution management are the types of operation management that must be held in high esteem in the organization.
Also, the types of management processes that business executives leverage should help improve their managerial effectiveness centred on boosting their firm’s output and effectiveness. Business managers should strive to embrace the type of management that creates an enabling working environment for their workers to maximize their productivity.