General management is the process of creating a collective performance that is superior to that which would have occurred naturally. General management matters because by improving collective performance it creates value.
Managerial Intervention
General management is like steering, involving the drive of the mind as well as the energy of the body. Management intervention:-
- Needs to be systematic and purposeful
- Needs to be based on principles and disciplinary knowledge
- Should be applied with rigorous methods of experimenting and learning
- Should be practiced with a meticulous language
The EOS Model
The EOS model states that the performance of a company is the outcome of the result of the complex dynamic interaction between its environment (E), its organization (O) and its strategy (S). In other words, a company’s performance depends on where it is, what it is and what it does. The general manager is a part and parcel of EOS. What sets a general manager apart is the inherent faculty to directly influence each and all of these three elements. The ability to shape the environment, organization and strategy distinguish the general manager.
Environment
A business environment is made of customers, shareholders, partners, suppliers, government, etc. General Managers may change the environment in two ways- directly or indirectly. They can directly change the environment by adding or removing one or more elements of their environment. They can indirectly alter the existing elements of their environment by impacting the behavior of elements of the environment.
Strategy
The element strategy signifies what the company does. This includes the product, position, business model, technologies and resource allocation. This is determined and monitored by a general manager.
Organization
The elements of the organization are people, managerial mindset, structure, processes, performance metrics, and incentives. These are elements that general managers modify to shape the organization directly.
General Managers change the course of company performance by intervening to alter one or more elements of such performance.
Managing for long term prosperity
External factors that are unpredictable and uncontrollable affect every economy and industry sector. A high level of management expertise and management quality enables organizations to develop internal dynamic capabilities and sustainable competencies. Fostering of capabilities in general management smartly and swiftly will translate into higher productivity. It is clear that investing in education and skills is a key requirement for those performing managerial roles now and into the future.
Certified General Management Course
There are several certified general management courses that can help develop the core competencies required by a general manager.
IIM (Raipur) offers a general management executive course which is a live and interactive online certificate program designed for functional managers aspiring to move to a general management role. To develop core business skills and competencies. This program would equip them to handle issues involving cross-functional areas. It seeks to introduce contemporary business models and practices to the participants.
Similar general management executive courses are offered by IIM (Kozhikode) and XLRI.
General management matters. It ensures the proper development of an organization towards its ultimate future goals.