In today's business world, the search for effective management methods is constant. Entrepreneurs and managers are looking for ways to optimize processes, increase efficiency and achieve ambitious goals.
In this context, one strategic management approach that is gaining prominence is Guideline Management (GPD), a methodology that aims to align the company's actions with its strategic objectives.
Read on and find out what GPD is, what it's for and how it can be a valuable tool for boosting organizational success.
What is Guideline Management
Guideline Management (GPD) is a management approach focused on clearly defining and communicating strategic guidelines and organizational goals. In addition, its purpose is to guide the actions and decisions of companies or organizations in line with their objectives.
In other words, the annual goals are broken down and act as essential starting points. This method aims to develop planning in a practical and efficient way.
In the Brazilian context, the significant dissemination of GPD can be attributed to Vicente Falconi, a renowned management consultant. In addition, if your aim is to deepen your knowledge after reading this content, we recommend consulting the Professor Falconi's prestigious book.
What is the purpose of the GPD?
Guideline management is a method that aims to facilitate the implementation of organizational goals and objectives by ensuring that the necessary actions are taken to achieve these guidelines.
To effectively implement this type of management, it is crucial to break down broader goals into smaller objectives.
Thus, each manager takes responsibility for a specific set of smaller goals and associated measures, thereby increasing the likelihood of achieving these objectives.
In addition, Guideline Management uses a number of specific tools, such as the PDCA cycle, performance indicators, dashboards, SWOT analysis, plans based on the 5W2H system, among others.
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What is the importance of Guideline Management?
According to a study by renowned Harvard Business School (HBS) professor Clay Christensen, which reveals an alarming% failure rate for new products in the market.
This high failure rate can partly be attributed to the absence of internal mechanisms to guide efforts, since innovation without a clear direction has never guaranteed success.
In other words, it is in this scenario that Guideline Management (GPD) proves to be an extremely useful tool. Its purpose is to manage the business in such a way as to allow controlled adjustments in the face of change.
It is worth emphasizing that this is not just about innovation management, but about adopting a set of management methods that enable a company to improve itself with the minimum of risk involved.
Get to know the two GPD management systems
In order to facilitate the implementation of the method at the different management levels, the GPD introduces two management systems:
1- Cross-functional management
The main focus of this system is to anticipate the company's future. It maintains a direct connection with senior management and is responsible for developing corporate guidelines and distributing them to the various departments.
In addition, cross-functional management aims to strategically align the organization's actions to meet long-term objectives.
2- Functional management
Aimed at continuous improvement and the maintenance of organizational routines, functional management is directly linked to the administration and quality control of the company's daily activities.
Thus, its emphasis is on operational efficiency, seeking to constantly improve routine processes and ensure consistency in day-to-day operations.
These two complementary GPD systems work together to provide a comprehensive approach; addressing both the long-term strategic vision and the day-to-day operations for the effective running of the organization.
Advantages of Guideline Management
The practical advantages of the GPD method are evidenced by the excellent results achieved.
In addition, two distinctive benefits of Guideline Management in organizations are stability and efficiency. Stability is achieved through a well-structured and systematic approach that prevents mistakes from being repeated.
As far as efficiency is concerned, it manifests itself organically. Waste of resources of any kind is mitigated. This is because the process is constantly seeking continuous improvement and is highly objective, allowing no room for rework.
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Frequently Asked Questions
1- How to use GPD to achieve goals?
To achieve goals through GPD, it is crucial to establish clear and measurable guidelines. In this way, identify strategic goals, develop action plans in line with these goals and continuously monitor progress.
In addition, effective communication and the involvement of the entire team are key to ensuring the successful implementation of the guidelines and achieving the proposed goals.
2- How does Management by Guidelines work?
Management by guidelines consists of setting goals and drawing up action plans for each level of the company. In addition, it carries out periodic reviews of facts and results.
Through this cyclical process, guided by objectives and well-structured planning, it becomes feasible to follow a path that is transparent to everyone involved.
Furthermore, reaping the benefits of continuous improvement becomes an intrinsic consequence of this method, highlighting the effectiveness of the PDCA cycle
3- How is strategic planning applied in the GPD?
Guideline Management (GPD) incorporates not only medium and long-term strategic planning, but also the formulation of guidelines by the leadership.
Within this approach, a survey is conducted of the possible causes of the problems impacting the company. These causes are analyzed in detail, allowing them to be addressed in a segmented manner by the different sectors of the organization.
Want to know more? Read on: Management by guidelines: concept, models and how to do it
4- Can all companies develop Management by Guidelines?
Yes, GPD can be applied in companies of different sizes and sectors. The flexibility of GPD allows it to be adapted to the specific needs of each organization. However, it is crucial that companies are willing to commit time and resources to effectively implement GPD.
5- What are the pillars of the GPD?
The essential foundations of GPD are made up of three pillars, which form the basis of the method's remarkable success. Therefore, Understanding these elements is crucial to a full understanding of GPD. They are:
1- Dedication and creative action
2- Innovation
3- Monitoring
Conclusion
Management by Guidelines (GPD) is a management methodology that provides a variety of benefits for organizations that choose to adopt it.
In addition, by setting goals clearly and in line with strategic objectives, the GPD plays a key role in improving business performance.
As such, it stimulates team involvement and drives the continuous evolution of the processes, products and services offered.
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