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Management Practice Print E-mail
Written by Sanjay J Daharwal   
Article Index
Management Practice
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Principle 1 Customer focus

Organizations depend on their customers and therefore should understand current and future customer needs, should meet customer requirements and strive to exceed customer expectations.Key benefits:

  • Increased revenue and market share obtained through flexible and fast responses to market opportunities.
  • Increased effectiveness in the use of the organization's resources to  enhance customer satisfaction.
  • Improved customer loyalty leading to repeat business.  Applying the principle of customer focus typically leads to:
  • Researching and understanding customer needs and expectations.
  • Ensuring that the objectives of the organization are linked to customer needs and expectations.
  • Communicating customer needs and expectations throughout the organization.
  • Measuring customer satisfaction and acting on the results.
  • Systematically managing customer relationships.
  • Ensuring a balanced approach between satisfying customers and other interested parties (such as owners, employees, suppliers, financiers, local communities and society as a whole).

Principle 2 Leadership

Leaders establish unity of purpose and direction of the organization. They should create and maintain the internal environment in which people can become fully involved in achieving the organization's objectives.

Key benefits:

·        People will understand and be motivated towards the organization's goals and objectives.

·        Activities are evaluated, aligned and implemented in a unified way.

·        Miscommunication between levels of an organization will be minimized.

·        Applying the principle of leadership typically leads to:

·        Considering the needs of all interested parties including customers, owners, employees, suppliers, financiers, local communities and society as a whole.

·        Establishing a clear vision of the organization's future.

·        Setting challenging goals and targets.

·        Creating and sustaining shared values, fairness and ethical role models at all levels of the organization.

·        Establishing trust and eliminating fear.

·        Providing people with the required resources, training and freedom to act with responsibility and accountability.

·        Inspiring, encouraging and recognizing people's contributions.

  Principle 3 Involvement of people

People at all levels are the essence of an organization and their full involvement enables their abilities to be used for the organization's benefitKey benefits:

  • Motivated, committed and involved people within the organization.
  • Innovation and creativity in furthering the organization's objectives.
  • People being accountable for their own performance.
  • People eager to participate in and contribute to continual improvement.
  • Applying the principle of involvement of people typically leads to:
  • People understanding the importance of their contribution and role in the organization.
  • People identifying constraints to their performance.
  • People accepting ownership of problems and their responsibility for solving them.
  • People evaluating their performance against their personal goals and objectives.
  • People actively seeking opportunities to enhance their competence, knowledge and experience.
  • People freely sharing knowledge and experience.
  • People openly discussing problems and issues.  

 


 
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