Mangerial Roles –An example

In continuation with my previous blog, I had discussed the role of Managerial task. I want to take it further by clarifying it with an example from my settings.

Well apart from leadership and drive, there are 3 more areas mentioned by S. Beer – Policy making, decision making and control.

Applying this in the context of lending business, I will take one examples from each of the parameters and explain its requirements. This will be applicable to the business head for the lending business channel.

1) POLICY Making – In a lending business, the business head is part of the risk Policy. Ensuring that the risk policy is not that stringent that it stifles all new business yet is not so liberal that it will lead to higher NPAs and thus affect P&L. The foresight and judgment in this area is critical in impacting bottom-line.

2) Decision Making - Every action in the present is impacting the future directions. Taking decision on what structure will yield the maximum results is a key skill. For e.g. Have I integrated the voice of the market, products, employees, Top management etc in getting the structure in place. Is the DSA model more appropriate for our type of product or would a direct sales team yield better results is one critical area of decision making.

3) Control – Sensing the data from the ambient sounds is an important skill. Within the current environment is my product suited to match the needs of client factoring the competitors? Is the interest rate in line with the market and hence has to be factored in being aligned with the market.

There are several such examples that a Manager has to take in his daily operations and this intellectual capacity and judgment is having a critical role in making the business a success or otherwise. Leadership and drive will only help in keeping the wheels on track but cannot make the vehicle run as per the desire.