The Effective Executive PDF by Peter F. Drucker
Download The Effective Executive by Peter F. Drucker PDF book free online – What makes an effective executive? The measure of the executive, Peter F. Drucker reminds us, is the ability to “get the right things done.” This usually involves doing what other people have overlooked as well as avoiding what is unproductive. GET FREE AUDIOBOOK
Summary of The Effective Executive PDF by Peter F. Drucker
Effectiveness is a skill that may be learned.
The book’s topic is self-management for maximum effectiveness.
Executives who do not know how to make their own jobs and work more effective set the wrong example.
It takes no unique abilities, training, or gifts to be effective.
Effectiveness may be honed until it becomes second nature.
There is no performance without efficacy.
Intelligence, inventiveness, and knowledge are all valuable assets, but only effectiveness transforms them into outcomes.
What exactly is an executive?
Every knowledge worker in a contemporary organization, whether managers or individual professionals, is an executive if they are expected, by virtue of their position or knowledge, to make decisions in the ordinary course of their work that have a major impact on the overall performance and results.
He must accept responsibility for his part.
He is considered to be better suited than anyone else to make the appropriate judgment because of his knowledge.
Quantity does not characterize knowledge work. Neither are characterized by their prices. It is characterized by the outcomes.
To be a successful executive, you must develop the following five mental habits:
Effective CEOs are aware of how they use their time. They labor methodically to manage the small amount of time they have under their control.
Outward contribution is the focus of effective executives. They prioritize results over work in their evaluations.
Effective executives capitalize on their own and their superiors’, colleagues’, and subordinates’ strengths. They don’t build on a foundation of weakness. They do not begin with what they are unable to perform.
Effective executives concentrate on the few major areas where great performance will deliver outstanding results. They make it difficult for themselves to set priorities and stick to them. They understand that they have no choice but to prioritize the most important tasks and ignore the rest.
Effective decision-makers are effective executives.
Chapter 2: Be Aware of Your Time
Executives who are successful do not begin with their tasks. They begin by calculating their time. And they don’t start with a strategy. They begin by determining how they spend their time.
Then they manage their time by reducing time demands that are not productive.
Finally, they divide their time into the greatest continuous pieces possible.
The foundation of executive effectiveness is a three-step process: 1)Time recording 2) Time management 3)Time consolidation
Executives understand that time is a constraint. Time, unlike other resources, cannot be rented, hired, purchased, or obtained.
The effective CEO understands that in order to manage his time, he must first understand where it goes.
Each knowledge worker must be able to manage time in very significant chunks in order to be effective. Even though the total number of hours is outstanding, having small dribs and drabs of time will not suffice.
Because the knowledge worker is self-directed, he must understand what is expected of him and why.
Senior executives get down with knowledge workers in major organizations where they perform effectively on a regular basis, sometimes all the way down to green juniors, and ask: “What should we at the top of the organization know about your work?” What would you like to tell me about the company? Where do you think we’re missing out on opportunities? Where do you perceive threats that we are still oblivious to? What do you want to know about the company from me?
Without the aforementioned discourse from management, knowledge workers either lose interest and become time-servers, or they focus their energies on their specialization rather than the organization’s prospects and requirements.
The phrase “delegation” is misunderstood. However, getting rid of anything that can be done by someone else so that you don’t have to delegate and can focus on your own work is a significant boost in efficiency.
“What do I do that wastes your time without contributing to your effectiveness?” effective executives ask systematically.
“I have requested Mr. X and Y to meet with me on (X.X.XXX) in Room XYZ to discuss budget,” says the meeting invitation form. If you require information or like to participate in the debate, please come. However, you will receive a comprehensive summary of the conversation and any choices reached, as well as a request for your opinions, as soon as possible.” No one feels left out with this invitation format.
To deal with wasteful and time-consuming operations, CEOs should ask three diagnostic questions:
Overstaffing frequently results in time waste.
Overstaffing has a very consistent sign. If the group’s senior leaders spend more than a tenth of their time dealing with human relations issues, feuds and frictions, or jurisdictional disputes, the workforce is almost likely too large.
People may move about freely in a lean company without colliding with one another, and they can complete tasks without having to explain them all the time.
The requirement for an expert on the team just in case we need him is always used as an excuse for overstaffing. On a team, only the knowledge and abilities required for the majority of the job should be present. Specialists who are only needed on occasion should always be hired on a contract basis.
- Disorganization is another prevalent time-waster.
An overabundance of meetings is one of its symptoms. We join together because people with diverse jobs must work together to complete a goal. We join together because the knowledge and experience required in a given circumstance cannot be found in a single person’s mind, but must be put together from the experience and knowledge of multiple people. Every meeting leads to a slew of smaller follow-up meetings, some formal and others casual, but all lasting many hours. As a result, meetings must be carefully guided. Undirected meetings are not only inconvenient, but often dangerous. Meetings should be the exception, not the rule.
Meetings should never be allowed to take up the majority of an executive’s time.
Too many meetings indicate that work that should be done in one task or component is being split between numerous jobs or components. They indicate that responsibility has been distributed.
- Information malfunction is the final big time-waster.
Prepare adequately for meetings and complete your assignments.
Senior executives rarely have more than a quarter of their time actually at their disposal and available for the critical issues, the issues that contribute, and the issues for which they are compensated.
The more up an executive goes, the more time that is out of his control and not spent contributing will increase. As a result, the competent executive understands the importance of concentrating his free time (the time that makes real contribution).
He understands that he need vast chunks of time and that small bits are of no use to him.
A frequent strategy for time consolidation is for senior males to work from home one day a week.
Others arrange all operational work — meetings, evaluations, and problem sessions — for two days a week and save the mornings of the remaining days for consistent, focused work on big issues.
Effective CEOs begin by calculating how much time they can really call their own. Then they allocate consistent time in the proper manner.
Effective CEOs have constant control over their time management. They not only keep a running log and analyze it on a regular basis, but they also set deadlines for critical actions based on their judgment and discretion.
What can I offer in Chapter 3?
The focus of an effective executive is on contributing. “What can I do that will have a substantial impact on the performance and results of the institution I serve?” he wonders. His emphasis is on accountability.
The vast majority of executives look down. They are more concerned with efforts than with outcomes. They are concerned with what the company and their superiors owe them and should do for them.
No matter how high his title or status, a man who emphasizes his downward authority and concentrates on his efforts is a subordinate. In the most literal sense, the individual who focuses on contribution and takes responsibility for results, no matter how junior, is “top management.”
Executives who do not ask themselves, “What can I contribute?” are more likely to not only aim too low, but also at the incorrect things. They may overly limit their contributions.
Every company requires excellence in three areas:
It requires immediate results: They serve the same purpose as calories in human nutrition.
Vitamins and minerals play a role in the development and reaffirmation of values. This organization must stand for something, or it will devolve into disorganization, confusion, and paralysis.
Building and developing future leaders:
As a result, the organization must give the persons who will lead it tomorrow today. It must replenish its personnel resources.
Every executive’s contribution must include all three of the aforementioned.
People adjust to the demands that are placed on them. The executive who focuses on contribution raises the expectations and standards of everyone with whom he interacts.
Contribution commitment is synonymous with responsible effectiveness commitment. Without it, a person deprives himself, his organization, and the people with whom he works.
Human Relationships That Work
Because they have a “gift for people,” executives in an organization do not have good human relations. They enjoy positive interpersonal interactions because they prioritize contributing in their own work and in their relationships with others.
The Successful Meeting
The executive’s normal work situation is a meeting, a report, or a presentation. They are the tools he uses on a daily basis. They also put a lot of pressure on his time.
Effective executives understand what they want to gain out of a meeting, report, or presentation, as well as what the meeting’s or presentation’s aim should be.
“Why are we having this meeting?” they ponder.
“Do we want to make a decision, or do we want to be informed, or do we want to know what we should do?”
They demand that the purpose be considered and written down before a meeting is held.
The effective executive always states the particular objective and contribution of a meeting at the opening. He will not let an informational meeting devolve into a brainstorming session in which everyone shares a brilliant idea.
He always returns to the opening remark at the end of the sessions and connects the final conclusions to the initial objective.
The meeting’s cardinal guideline is to focus on contribution from the start.
Focusing on contribution equals focusing on efficiency.
The focus on contribution provides the four basic requirements of effective human relations on its own:
The more a superior tries to communicate with his subordinate, the more likely the subordinate will misunderstand. Instead of hearing what is being said, he will hear what he expects to hear.
Effective CEOs who accept responsibility for their own contributions will almost always expect their subordinates to do the same.
“What are the contributions for which this organization should hold you accountable?” they’ll ask their guys.
“Can you tell us what to expect from you?”
“How can you best apply your knowledge and abilities?” And then communication becomes easier.
After the subordinate has considered what contribution is expected of him, the superior has the right and responsibility to assess the contribution’s legitimacy.
The emphasis on contribution encourages sideways communication, which facilitates teamwork. Instead of following a formal jurisdictional framework, these people must work together willingly and according to the logic of the situation and the demands of the mission.
- Personal growth
“What is the most crucial contribution I can make to the performance of this organization?” he asks himself. “What self-development do I require?” he asks. What knowledge and skills do I need to gain in order to contribute the way I should?” “What expectations do I hold for myself?” “How should I put my strengths to work?”
- Others’ advancement
Others, whether subordinates, coworkers, or superiors, are encouraged to improve themselves by the CEO who emphasizes on contribution. He establishes expectations for perfection. They are demands for high ambitions, ambitious goals, and high-impact effort.
Knowledge workers develop as a result of the challenges they set for themselves. They progress based on their perceptions of success and achievement. They will remain stunted if they expect little of themselves. They will grow to monstrous proportions if they demand a lot of themselves.
Chapter 4: Putting Strength to Work
Strength is made productive by an effective executive. He understands that weakness cannot be built upon.
To obtain achievements, one must employ all available resources, including associates’ talents, superior’s capabilities, and one’s own strengths. These advantages are the genuine possibilities.
These assets may render the flaws insignificant.
The effective executive makes employment decisions to maximize strength rather than minimize weakness.
Those who try to staff an organization to avoid weakness will achieve mediocrity at best. Strong people have strong weaknesses as well.
Human brilliance can only be reached in one or a few areas at most.
It is foolish to concentrate on what does not exist and on flaws.
Achievement must be assessed against objective contribution and performance standards. This is only conceivable if jobs are defined and arranged in a non-personal manner. Otherwise, personnel decisions based on “Do I like this fellow?” will be made in no time. Alternatively, “Will he be acceptable?” Instead of asking, “Is he the one most likely to accomplish an exceptional job?”
Job structure based on personality nearly always leads to favoritism and conformity. Neither is something any corporation can afford. It requires impersonal justice and equity in employment decisions. Otherwise, it will lose its good citizens.
Men who establish top-tier executive teams are rarely close to their direct coworkers and subordinates. They hire people for their abilities rather than their personal preferences, and they are looking for results rather than conformity. They maintain a space between themselves and their close coworkers to ensure this outcome.
How do strong executives assemble their teams?
First and foremost, a competent executive ensures that the job is well-designed. And, unless he has reason to believe differently, he does not seek out genius to accomplish the impossible. He restructures the job. He understands that the organization’s litmus test is not genius. Its ability to inspire ordinary people to accomplish extraordinary results.
The competent executive understands that in order to gain strength, one must first overcome weaknesses.
“Does this man have strength in one main area?” the effective executive will inquire. Is this ability useful for the job? Will it make a huge difference if he achieves excellence in this one area? And if the response is affirmative, he will appoint the individual.
It must be an unbreakable rule to promote the man who is most qualified for the post to be filled on the basis of performance.
On the other hand, it is the executive’s responsibility to mercilessly eliminate anyone, especially a manager, who continually fails to perform admirably. Allowing such a person to remain corrupts the others.
A superior is in charge of the work of others. He also has control over other people’s careers. Making strengths useful is more than just a matter of efficiency. It is a moral obligation, as well as a responsibility that comes with authority and position. ‘
To focus on weakness is not only foolish, it is irresponsible.
A superior owes it to his organization to maximize the productivity of each and every one of his subordinates.
Organizations must help individuals achieve their goals by using their strengths and overcoming their limitations and weaknesses.
How do I work with my boss?
The successful executive attempts to maximize the strengths of his boss.
Making the boss’s strength useful is crucial to the subordinate’s own effectiveness.
The effective executive recognizes that the boss is a human being with strengths and weaknesses.
Effective executives are unconcerned about what their boss cannot do. “What can my employer do very well?” he wonders. “What exactly has he done really well?” “How does he know how to make use of his strength?” “What does he require from me in order to perform?”
5th Chapter: First and foremost:
Concentration is the one secret to success.
Effective CEOs prioritize and complete one task at a time.
The executive’s need to concentrate stems from the nature of his or her profession.
The more an executive tries to turn his skills into assets, the more aware he will be of the necessity to focus on key prospects. The only way to get results is to do so.
The more time, effort, and resources one can devote on a work, the more diverse and tasks one can complete.
All programs, actions, and tasks are policed by the executive who wants to be productive and wants his organization to be effective. “Is it still worth doing?” he always asks. If it isn’t, he gets rid of it so that he may focus on the few activities that, if completed well, will make a difference.
DuPont has outperformed its competition because it abandons a product or method before it starts to fail.
The desire to slough off the old in order to make room for the new is universal.
Priorities and Afterthoughts
The truly significant guidelines for identifying priorities are dictated by courage rather than analysis:
Choose the future over the past.
Instead than focusing on the problem, consider the opportunity.
Rather than jumping on the bandwagon, take your own path.
Aim high, rather than safe and simple, and aim for something that will make a difference.
The Elements of Decision Making (Chapter 6)
One of an executive’s responsibilities is to make decisions.
Effective decision-makers are effective executives.
Effective CEOs make a limited number of decisions. They focus on the most significant ones.
They aim to make the few key decisions with the most conceptual understanding possible.
They prefer impact over skill. They prefer to be practical rather than smart.
Effective executives understand when a decision must be made on principle and when it should be made on the merits of the case and in the best interests of the company.
A decision is not a decision unless it has “devolved into work”; at best, it is a good intention.
The Decision Process’ Five Elements:
“Is this a generic scenario or an exception?” a good decision maker asks first.
“Is this something that underpins a lot of things?” Is the incident a one-of-a-kind occurrence that requires special attention? A rule, or a principle, must always be applied to the generic.
The decision-making procedure is There are certain requirements for what the choice must accomplish. What are the goals that the decision must achieve? What are the minimum objectives it must meet? What conditions must it meet, often known as boundary conditions?
The more clearly defined the boundary conditions are, the more likely the decisions will be effective.
“What is the bare minimum required to fix this issue?” Is the method for probing boundary conditions.
- One must begin with what is correct rather than what is acceptable, because one must always compromise in the end. However, if one does not understand what is required to meet the requirements and boundary conditions, it is impossible to distinguish between the right and bad compromises.
Intelligence, imagination, and knowledge may all be wasted in an executive job without the acquired habits of mind that mold them into results.Drucker identifies five practices essential to business effectiveness that can, and must, be learned:
- Managing time
- Choosing what to contribute to the organization
- Knowing where and how to mobilize strength for best effect
- Setting the right priorities
- Knitting all of them together with effective decision-making
Ranging widely through the annals of business and government, Peter F. Drucker demonstrates the distinctive skill of the executive and offers fresh insights into old and seemingly obvious business situations.
About the Author
Peter F. Drucker is considered the most influential management thinker ever. The author of more than twenty-five books, his ideas have had an enormous impact on shaping the modern corporation. Drucker passed away in 2005.