GITNUXBLOG

The Risks & Benefits Of Result Oriented Management

GITNUXBLOG

Table of Contents

People and organizations plan future projects aiming for products that fulfil their needs. These projects require work, time, money, inputs, energy, people, etc. It is not enough just to implement a project, it must also be managed so that resources are used efficiently.

The purpose of a project is to obtain products with added value, and for the best results, you should know how to manage it. Below, we have prepared a complete overview where we answer the most frequently asked questions about result oriented management.

Summary

  • Result-oriented management is the systematization of processes (tasks, activities, work, control, direction, etc.) to achieve goals and objectives.
  • Management is focused on ensuring the efficient use of factors in a production process for obtaining value-added products.
  • Result-oriented management allows adjustments to a process for correcting errors.

What you need to know about result-oriented management

There are many aspects that involve result-oriented management, however, it is necessary to know the basic concepts for a better understanding of how this process works.

What is result-oriented management?

Result-oriented management focuses on achieving different goals and objectives. This process makes use of different inputs (factors of production) to generate outputs, either goods (tangible) or services (intangible) (1).

The expected results must be feasible, that is, objectives that are possible to achieve

What is the advantage of result-oriented management?

The advantage of result-oriented management involves achieving the planned goals and objectives by organizing activities, tasks, resources and so on. This helps us to understand what functions must be fulfilled by each element within the organization.

What is the disadvantage of result-oriented management?

A disadvantage of results-oriented management is that it is merely focused on planned goals and objectives, leaving aside the changes that may happen. Remember that lots of unexpected situations can happen during the process.

Advantages

  • Goal-oriented.
  • Orientation to objectives.
  • Control and administration of available resources.
  • Correction of mistakes.
  • Integration of work teams.
  • Coordination between departments.

Disadvantages

  • Unexpected situations can happen.
  • There may be a lack of information to make decisions.
  • Sometimes the results do not match what was planned.

What is result-oriented management for?

Management is an operational approach that is focused on improving performance in the short term. It is leading all interactions within a process to create an environment where the contribution of its members is beneficial to the organization (2).

Why is project management important?

Because organizations have limited resources, the capacity of the organization and a project must be taken into account. When managing a process, resources must be used efficiently. Read more about Remote Project Management.

Why are different factors important in results orientation?

Every kind of production process requires a number of factors necessary for production. These factors can be tangible or intangible: energy, facilities, real estate, machinery, inputs, people, ideas, etc. They are all connected in a production system with the purpose of producing one or more products (3).

Why are results important?

Management results are important because this information reveals whether the standards set in the project were met. This is useful since it allows us to provide feedback and correct the direction of a project. Below, you can see a list of some of these standards for goals and objectives:

Target standardMeasurement reference
An attributeSales, profitability, user satisfaction, etc.
A quantifiable elementA unit of measurement to measure the degree of achievement
A reference standardValue to be achieved
A time horizonThe time period in which the objective is expected to be achieved

What are the benefits of managing for results?

Management allows us to understand the established capabilities of an organization, which is the limiting factor of an organization to generate more products. On the other hand, idle capacity is the lack of use of productive factors. Both are useful and necessary, as no organization can work at 100% of its established capacity all the time (4).

How does result-oriented management help me in performance?

The management of a project, job, idea, etc. helps to identify the costs involved in it. Every productive process requires factors, and these are not free, so they require monetary investments. Identifying costs is part of improving the performance of management that seeks results.

How does result-oriented management improve processes?

Project management shows us that we do not have 100% of the planned resources at our disposal, as a certain percentage is always left unused. This tells us that what was planned is only an estimate of what is actually consumed and obtained in the production processes.

The planned is only an estimate of the results to be obtained

How does result-oriented management help me to integrate different parts of a system?

Organizations don’t function in isolation, they all interact within a system of organizations. At the same time, an organization is a system of its own, as it is composed of areas, departments, people, etc. Managing all these areas helps to align them towards a common goal, for which it was created.

“All organizational actions are articulated within a plan, which details, … the objectives to be pursued and the ways to achieve them. An objective is a future state of affairs that the organization expects to achieve in a specific time (5).”

Characteristics of a result-oriented strategy

Here we are going to see some main characteristics of a result-oriented strategy. In this section, we will talk about the main functionalities of this way of managing resources within an organization towards the desired performance.

Maximizing performance

Maximizing performance is the productive objective of organizations to increase the value of the entity. This performance is not only economic but also organizational, since it is about increasing the performance and well-being of the staff within the organization during their work.

Coordination between purposes, objectives and goals

Management does not aim at the purpose of an organization, that is the responsibility of administration in general. However, through management, objectives and goals must be aligned with the organization’s purpose, since the purpose is to ensure that everyone is on the same path and in a coordinated manner (6).

Strategic Alignment (Source: Daniel Blanco/ Gitnux.com)
PurposeHierarchical level of purpose
Purpose (set of objectives)High
Objective (set of goals)medium
Goal Low

Coordination between different sectors

Although the company may have many sectors and employees performing different jobs and tasks, management ensures they all work together towards a common goal, even if their activities are different. Coordinating different jobs and sectors for a common purpose is one of the management qualities.

Compliance with parameters

The goals and objectives were previously set out in strategic planning, now it is management’s turn to ensure the fulfilment of these purposes. Management ensures the achievement of the established parameters.

Adaptation to the dynamic environment

Both the environment and the organization itself always have variables to a greater or lesser extent. These variables emerge from the different factors that are present in a system and are also known as uncertainty. Although for obvious reasons it is impossible to know about all these variables, management must always adapt to the different changes that may occur (7).

One of the qualities of management is the ability to adapt to change.

Measuring results

Measuring results in management is of utmost importance, as this information can be used to determine whether the proposed targets are being met. For example, delivery time, quantity produced, product quality, the number of sales, employee welfare, generation of new links, company prestige, etc.

How to develop result-oriented management?

Results-oriented management goes through different stages during its implementation. Each of these stages is equally important, since, in order to manage one or several projects, all of them must be carried out in order to generate a successful outcome. Mistakes identified during management can then be corrected and avoided (8).

Execution

The execution of a project is the implementation of what was planned. In this stage, the plan is put into action, and the different factors available are used in order to produce and obtain the expected results. This stage consists of the activities and tasks that are carried out in a production process within an organization.

Control

Not only the implementation of a project is important, but also the control and supervision of the project, since the verification of a project is one of the characteristics of project management. By controlling, it is possible to check whether the project is adequately fulfilling its intended purpose.

Feedback

If errors are detected in the control stage, process modifications are necessary. Based on the obtained information, the course of this production process can be redirected. The implementation of corrections completes the outcome, thus generating a more efficient management process.

Conclusion

People and organizations plan projects that deliver value-added products as a result. These purposes require factors such as labor, time, money, inputs, energy, people, etc. This whole process requires supervision and control through management to make efficient use of resources.

Results-oriented management is a system of processes to achieve the goals and objectives set, but it also allows corrections when errors occur. Its main focus is not only to achieve results, but to achieve quality results through the added value that is produced in an organization.

References

1. Carrasco J. Process Management (Aligned with the strategy) Abridged version (Excerpts from the original version) [Internet]. [cited: 2022].
Source

2. Mintzberg H, Quinn JB, Voyer J. The Strategic Process: Concepts, Contexts, and Cases [Internet]. Google Books. Pearson Education; 1997. [cited: 2022].
Source

3. Porter ME. Competitive advantage: creating and sustaining superior performance [Internet]. Google Books. Patria Publishing Group; 1900. [cited: 2022].
Source

4. Chiavenato I. Comportamiento organizacional [Internet]. biblioteca.udgvirtual.udg.mx. 2009. [cited: 2022].
Source

5. Marco F, Loguzzo, Héctor Aníbal, Fedi JL. Introduction to management and administration in organizations. Upacpa [Internet]. 2016. [cited: 2022].
Source

6. De Reflexion A, Jonathan B, Orellana S, Ch A, Professor University D, Santo E. Influence of leadership on organizational climate Suma de Negocios. Suma Neg [Internet]. [cited: 2022].
Source

7. Darío Rodríguez Mansilla. Organizational management [Internet]. Google Books. 2022. [cited: 2022].
Source

8. Robbins SP, Mary Coulter. Management [Internet]. Google Books. Pearson Education; 2005 [cited: 2022].
Source

GITNUXNEWSLETTER

Get Business and Technology Updates
Our newsletter is packed with essential tactics and tools used by innovative leaders to drive growth. Don't miss out!

GITNUXBLOG

Table of Contents

SHARE

GITNUXNEWSLETTER

Business & Tech Update

Get the latest tactics & tools

Business & Tech Updates

Sign up for our newsletter to stay in the loop on the latest in business & tech,.

– From Start to Scale: The Essential Playbook for Building and Growing New Business Ideas -​

– From Start to Scale: The Essential Playbook for Building and Growing New Business Ideas -​