Top 10 Laws that Enterprise Management Must Consider
To improve work efficiency, managers must first grasp the laws of enterprise management and development, and follow certain rules to handle tasks, which can effectively enhance the operational effectiveness of the enterprise. For enterprise management, one should master the following ten classic management theories:
Matthew Effect: To maintain an advantage, one must expand
The king gave three servants each an ingot of silver and instructed them to do business. Reward 10 cities to the servant who earns 10 ingots of silver; Reward the servant who earns 5 ingots with 5 cities; For the servant who did not use silver to make money, give his ingot of silver to the first one as well. The king said, 'Whatever is little, even what he has must be taken away. Whatever is much, we must give it to him, so that the more is better.' This is the Matthew Effect.
For the development of business operations, the Matthew effect indicates that in order to maintain an advantage in a certain field, it is necessary to rapidly expand in that field. When you become a leader in a certain field, even if the investment return rate is the same, you can easily obtain greater returns than weaker peers. If one does not have the strength to quickly expand in a certain field, they must constantly search for new areas of development in order to ensure better returns.
02 Washington Cooperation Rule: More people do not necessarily mean greater power
The Washington cooperative law states that one person is perfunctory, two people pass the buck to each other, and three people will never succeed. It's somewhat similar to the story of 'Three Monks'. The cooperation between people is not simply the sum of manpower, but much more complex and subtle. In human to human cooperation, assuming that everyone's ability is 1, the result of 10 people's cooperation can sometimes be much greater than 10, and sometimes even smaller than 1.
In our traditional management theory, there is not much research on cooperation. The most intuitive reflection is that most management systems and industries are currently committed to reducing unnecessary consumption of manpower, rather than using organizations to improve human efficiency. In other words, it can be said that the main purpose of management is not to make everyone do their best, but to avoid excessive internal friction. Bonnie's Law of Man Power: One person can dig a hole in a minute, but sixty people cannot dig a hole in a second. Collaboration is a problem, and how to collaborate is also a problem.
03 Occam's Razor Law: Solving Fundamental Problems
Occam's Razor: Do not add substance unless necessary. If you think that only by being overwhelmed and busy can you succeed, then you are wrong. Things always develop towards complexity, which can lead to waste, while efficiency comes from simplicity. Most of the things you do may be meaningless, and the truly effective activities are only a small part of them, which are often hidden in complex things. Find the key parts, remove unnecessary activities, and success is not that complicated.
Occam's Razor Law can be further deepened in enterprise management as the law of simplicity and complexity: making things complex is simple, making things simple is complex. This law requires us to grasp the main essence of things, grasp the mainstream, and solve the most fundamental problems when dealing with them. Especially to conform to nature, do not complicate things artificially, so as to handle things well.
04 The Watch Theorem: One person cannot let two people command
The watch theorem states that when a person has one watch, they can know what time it is, but when they have two watches at the same time, they cannot determine. Two watches cannot tell a person a more accurate time, but instead can make the person looking at the watch lose confidence in the accurate time. What you need to do is choose the one you trust more, calibrate it as much as possible, and use it as your standard to follow its guidance.
The inspiration of the Watch Theorem in business management is that two different methods cannot be used simultaneously for the management of the same person or organization, and two different goals cannot be set simultaneously. Even each person cannot be commanded by two people at the same time, otherwise it will leave the company or individual at a loss. The other implication of the watch theorem is that no one can choose two different values at the same time, otherwise their behavior will be in chaos.
05 Zero sum game principle: 'Win win' requires adherence to rules
When you see two players, you can say they are playing a 'zero sum game'. Because in most cases, there will always be one winner and one loser. If we calculate winning as earning 1 point and losing as earning -1 point, then the sum of their scores is: 1 (-1)=0. The concept of "zero sum games" is gradually being replaced by the concept of "win-win".
People are beginning to realize that 'self-interest' does not necessarily have to be based on 'harming others'. Through effective cooperation, a happy ending is possible. But moving from a "zero sum game" to a "win-win" requires all parties to have a sincere spirit and courage of cooperation, and to abide by the rules of the game. Otherwise, a "win-win" situation cannot occur, and in the end, it is still oneself who suffers losses.
06 Peter's Principle: Effective rewards may not necessarily lead to promotion
The Peter's Principle is a conclusion drawn by American scholar Lawrence Peter after studying the phenomenon of personnel promotion in organizations - the habit of promoting people who are competent at a certain level always leads to employees being placed in their incompetent positions. This phenomenon is ubiquitous in real life: a competent professor who is promoted to university president is unable to do so; An excellent athlete is promoted to an official in charge of sports, but does nothing. For an organization, once a considerable number of personnel are pushed to their incompetent level, it will cause the organization to be bloated, inefficient, and lead to mediocre individuals standing out and stagnant development. Therefore, it is required to change the simple "promotion based on contribution" mechanism for enterprise employees, and not infer that someone is capable of a higher level of position just because they have done well in a certain position.
To establish a scientific and reasonable personnel selection mechanism, objectively evaluate the abilities and levels of each employee, and assign them to positions they are capable of. Do not consider job promotion as the main way to reward employees. Instead, establish more effective reward mechanisms and use salary increases, vacations, and other methods as incentives.
07 The Law of Wine and Sewage: Don't Let Mouse Dung Bad a Pot of Porridge
The law of wine and sewage means that if you pour a spoonful of wine into a bucket of sewage, you get a bucket of sewage; if you pour a spoonful of sewage into a bucket of wine, you get a bucket of sewage. In almost any organization, there are a few difficult characters whose purpose seems to be to mess things up. Worst of all, they are like rotten apples in a fruit box. If you don't deal with them in time, they will spread quickly and rot other apples in the fruit box. The terrible thing about "rotten apples" is its amazing destructive power. A person with integrity and ability may be swallowed up when entering a chaotic department, while a person without virtue and talent can quickly turn an efficient department into a mess.
Organizational systems are often fragile, based on mutual understanding, compromise and tolerance, and are easily violated and poisoned. Another important reason for the extraordinary ability of the saboteur is that it is always easier to destroy than to build. If there are such people in the organization, they should be eliminated immediately; if they are unable to do so, they should be managed.
08 The Law of Not Worth: Doing What's Worth Doing
The most intuitive expression of the law of unworthy is: what is not worth doing is not worth doing well. This reflects a kind of psychology of people. If a person is engaged in something that he thinks is not worth doing, he will often maintain a cynical and perfunctory attitude. Not only the success rate is small, but even if it succeeds, it will not feel much sense of accomplishment.
What is worth doing? The work that is worth doing is that it fits our values, fits our personality and temperament, and allows us to see expectations. If your job does not have these three factors, you should consider changing to a more suitable job and try to do it well.
09 Bucket Law: The shortest board determines capacity
The bucket law is that how much water a bucket can hold depends entirely on the shortest piece of wood. This means that any organization may face a common problem, that is, the various parts that make up the organization often determine the level of the organization. The advantages and disadvantages of the various parts of the organization are uneven, and the inferior parts often determine the level of the entire organization. The "shortest board" is a useful component, but it is worse than the rest, and you can't throw it away as a rotten apple. Strength and weakness are only relative and cannot be eliminated. The question is how far you tolerate this weakness. If it is serious enough to become a bottleneck in the work, you have to do something.
If you are in an organization, you should: make sure you are not the weakest part; avoid or reduce the impact of this weak link on you; if unfortunately, you are in this link, you can take effective measures to improve, or transfer to another job.
10 Mushroom management: starting from odd errands
Mushroom management is a management method used by many organizations to treat fledgling people. Beginners are placed in dark corners (departments that are not valued, or jobs that run errands), doused with a lot of shit (unprovoked criticism, accusations, and receiving on behalf of others), and left to fend for themselves (without the necessary guidance and promotion). I believe that many people have such a "mushroom" experience, but this is not necessarily a bad thing, especially when everything is just beginning, being a "mushroom" for a few days can eliminate many of our unrealistic fantasies and let We are closer to reality and look at problems more practically.
For an organization, new employees are generally treated equally, and there is no big difference from starting salary to work. No matter how outstanding you are, you can only start with the simplest things at the beginning. The experience of "mushroom" is like a cocoon for growing young people, which is a step that must be experienced before eclosion.
Source: Ness Location (WeChat Public Number)
