“In all human affairs there are efforts, there are results, and the strength of the effort is the measure of the result” ~ James Lane Allen Management's New Paradigm CSA 553 Dr. Fran Newman Erin Cox, Christopher Smith & Kevin B. Hamilton Management Challenges for the 21st Century Why Assumptions Matter Old assumptions have become obstacles Two sets of assumptions I. Discipline a. Management is Business Management b. There is – or there must be – one right organization structure c. There is – or – must be one right way to manage people II. Practice a. Technology b. Legal c. Internal d. Political Management Challenges for the 21st Century Assumption I: Management is Business Management ~ Drucker feels that only now are we beginning to reverse the effects of Assumption I and goes on to point out that “a far smaller proportion of the working population in every developed country is now engaged in economic activity, that is ‘business’, than it was a hundred years ago” (Drucker, 1999, p.8). New Business Management Paradigm: To make management productive, both the study and practice of management is the specific and distinguishing organ of any and all organizations. Management Challenges for the 21st Century Assumption II There is or there must be one right organization ~ Since the inception of organizational structure within a business, there has been a search for the most proper way to structure individuals so that maximum efficiency is achieved. Drucker identifies several reasons why it is impossible to define one ‘right’ organization -- each organization “has distinct strengths, distinct limitations, and specific applications . . .it is a tool for making people productive in working together. As such, a given organization structure fits certain tasks in certain conditions and at certain times” (Drucker, 1999, p.11). New Organizational Paradigm: a. lessen the disparity between rhetoric and practice b. organizational structure is needed c. learn to look for, develop and test the organization that fits the task Management Challenges for the 21st Century Assumption III The one right way to manage people ~ Drucker looks at the idea that there is only ‘one right way to manage people’. Drucker proposes that the age of the ‘subordinate’ has passed and now employees should be referred to as “knowledge workers”. A knowledge worker “must know more about their job than their boss does -- or else they are no good at all. In fact, that they know more about their job than anybody else in the organization” (Drucker, 1999, p.18). Drucker’s final thought is that “One does not manage people. The task is to lead people. And the goal is to make productive the specific strengths and knowledge of each individual” (Drucker, 1999, p.22). In student affairs, employees need a cause to champion and a certain degree of autonomy to be experts in their field. New paradigm to mange people: a. one does not manage people; the task is to lead people b. make specific strengths & knowledge of each individual productive Management Challenges for the 21st Century Assumption IV Technologies & end-users are fixed & given ~ one research lab produces everything the company or company’s industry needs ~ technologies crisscross; there is no one technology ~ management can no longer be its own product or service ~ Student affairs should use technologies and creativity within the organization to meet the needs of customers. New technology paradigm: a. neither technology nor end-user is a foundation for management policy b. management strategy must start with customer values and customer decisions Management Challenges for the 21st Century Assumption V Management’s scope is legally defined ~ Drucker has observed that management is much more than the legalese that defines it -- management “has to be operational. It has to embrace the entire process. It has to be focused on results and performance across the entire economic chain” (Drucker, 1999, p.34). To provide students with necessary resources, student affairs must be collaborative and work with other departments. New legal paradigm: a. management is not legal b. management is operational – embracing, focused on results and performance Management Challenges for the 21st Century Assumption VI Management’s scope is politically defined ~ national boundaries or multinational ~ economic reality and political reality are congruent ~ politics of the institution should not risk jeopardizing students, faculty, staff and the mission/vision goals of the department or the institution. New political paradigm: a. national boundaries are restraints b. management has to defined operationally and not politically Management Challenges for the 21st Century Assumption VII The inside is Management’s Domain ~ management and entrepreneurship are two different dimensions ~ management began as a concern for the inside of the organization ~ must focus on results and performance New management domain paradigm: a. existence is for the sake of the institution’s results b. intended results and organized resources c. the organ makes the institution Management Challenges for the 21st Century Final New Management Paradigm Management’s concern and management’s responsibility are everything that affects the performance of the institution and its results – whether inside or outside, whether under the institution’s control or totally beyond it. Management Challenges for the 21st Century References Drucker, P.F. (1999) Management Challenges for the 21st Century. New York, NY: HarperCollins. Management Challenges for the 21st Century