[Management Column Vol. 85] What Does It Mean to Fulfill Performance Responsibility?
This is a column written by our representative, Kazuaki Sawada, detailing the insights he has accumulated in the fields of business revitalization, management improvement, and bank relations.
The related link this time is "The Reasons Executives Do Not Act for Overall Optimization." The article mentions "the gap in direction with the top," "a critic's mentality," "considering profits and the future as a department manager," and "the balance between offense and defense, reality and ideals," highlighting the concept of "from department head to department manager."
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Please use this as hints for management decisions, such as building a management foundation, improving management qualities, cash flow management, banking relations, business succession, and restructuring after the appointment of the second or third generation. Also, feel free to contact us with any questions or inquiries when putting this into practice.
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What does it mean to create performance? It means to establish all the management conditions that generate profit. Furthermore, performance responsibility involves considering "how to generate profit" within the given conditions and arranging the necessary management conditions. Simply blaming external factors such as "weak sales capability," "lack of product strength," or "poor market conditions" does not fulfill the responsibilities of an executive. As executives, they must share value judgment standards with the top management as "department managers" and constantly cultivate the following sense of balance in management: - Balance of offense and defense (sales, investment, and management) - Balance of environment (market trends and social changes) - Balance of time (the gap between the future and reality, the ability to look ahead and the ability to focus on the present) - Balance of management resources (effective use of people, goods, money, information, and time) Executives need to thoroughly understand the current state of their company's management foundation, strengthen it, and create performance themselves. What is required of executives is not to focus on reasons for inability but to think about "how it can be done" and connect that to results. Next time, I will discuss "the challenge of principle-based management."
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Our company is a group of professional consultants who value practical insights born from responding to corporate needs. With practical management know-how and a strong belief, we solve management challenges and achieve everything from startup support, reconstruction and revitalization support, growth expansion support, and business continuity support to building a solid management foundation.
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