Introduction to Management



Table of Contents

Executive Summary3

Introduction4

Discussion4

Lifestyle firms” vs. Growth-Oriented Firms4

Management of Small Firms5

Personal and Professional Business Goals5

Measures of Performance6

Treatment of Employees7

Range of Management Practices8

Conclusion9

Findings11

Introduction11

Discussion11

References14

Executive Summary

The focus of the paper is on the article by Verreynne (2012) the secret to running a successful small firm? Mind your own business. The main idea is to determine the success small businesses and how their management practices differ from the large companies. The small business can differ from the lifestyle focused and the growth oriented firms, the lifestyle focused emphasise most on the customer and employee retention through providing them a sense of ownership whereas the growth oriented firms keep working in learning and development. Small entrepreneurial businesses without family ties and household or family businesses are strongly concerned with economic security, business survival, maintenance, and growth. For the small businesses, lleaders are vision process-oriented, where managers are organizational-oriented. Both leaders and managers focus on people, but managers also focus on systems and structures. Leaders are decision makers along with managers, but managers may take longer to make decisions because they need to be aware of the organizational visions and goals. Where managers deal with conflict, leaders seem to be involved with conflict- meaning a manager accepts the status quo, where the leader challenges it.

Introduction to Management

Introduction

The paper analyse the article by Verreynne (2012) the secret to running a successful small firm? Mind your own business. The focus is on the key aspects of running a small business firm.

Discussion

Lifestyle firms” vs. Growth-Oriented Firms

Lifestyle firms are smaller businesses that usually provide a comfortable living for their owners. Usually lifestyle firms have small annual growth and revenue projections. These businesses rarely rely on outside funds for start up costs. What prompts many entrepreneurs to start their own business is the opportunity for freedom and flexibility - in essence, the ability to set their own rules. They imagine taking afternoons off to run errands, playing in the park with kids on a sunny day or having the flexibility to handle the many other duties that go along with life, parenting and everything else (Atkinson,Hurstfield, 2004, 9-11). The trouble is that ideal tends to go out the window when reality sets in and clients start demanding what they want and need. Before you know it, you have less freedom and flexibility than did in the corporate world. Instead of mid-week freedom, you have work bleeding into weekends and evenings.

On the other hand, to support growth objectives, the companies may need to obtain funding to hire new employees or to research new markets. To save money, they might consider improving the supply chain, including finding new suppliers or outsource portions of the activities. The creation of strategic alliances or partnerships with businesses similar or complementary can be beneficial to all parties (Atkinson,Hurstfield, 2004, 9-11). The partners and the companies could save money by sharing resources, such as distribution channels or marketing efforts.

Management of Small Firms

Personal and Professional Business Goal

Each and every one is capable of personal goal ...