NEW MANAGEMENT MODEL vs. Old Management Model

New Management Model vs. Old One

Vadim Kotelnikov quotes Managers succeed by following the rules. Innovators succeed by breaking rules

Old Management Model: hierarchical, rigid, command-and-control – well tailored to a business environment where change is slow and evolutionary

New Management Model: flat, flexible, centerless, focused on managing business enablers (people, knowledge, and coherence) – tailored to a business environment characterized by rampant change, rapid globalization, and growing complexity

New Management Model vs. Old One
Old Model	New Model
Managing Assets	Managing Resources, Capabilities, Change and Opportunities
Built around assets	Built around → capabilities and → Innovation
Focus on managing numbers	Focus on creating innovative value
Hierarchical	Networked, cross-functional
Command-and-control	→ Leadership-Management Synergy
Independent parts	Interdependent and synergized parts
Reactive	Proactive and responsive
Command and control	Empowered employees turned to self-leaders and intrapreneurs
Rationality and analysis	Intuition and simulation games
Risk-averse blame culture	Encouraging radical ideas, experimentation and risk-taking

Leadership – the New Managerial Task

→ Leadership vs. Management

In the new era of rapid changes and knowledge-based enterprises, managerial work becomes increasingly a leadership task. Leadership is the primary force behind successful change. Leaders empower employees to act on the vision.

They execute through inspiration and develop implementation capacity networks through a complex web of aligned relationships.

Leadership-Management Synergy

To maximize your long-term success you should strive to be both a manager and a leader and to → synergize their functions . Merely possessing management skills is no longer sufficient for success as an executive in today's business world. You need to understand the differences between managing and leading and know how to integrate the two roles to achieve organizational success... More

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→ 25 Lessons from Jack Welch

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