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Updated on October 3, 2012

Many business articles I have read speak of the ways, steps, and methods on how to manage a business effectively. Moreover, the big responsibility that the manager put on his shoulder is how to be productive on the available resources currently employed or available. The manager should give emphasis on the analysis, allocation and careful decision in order to achieve maximum productivity and low cost manufacturing of output. The misallocation of time, employees, effort and cost are one of the vague decisions that a manager missed to calculate.
The simple concepts cited in few management articles to help managers organize the job are the following:

-Just what is the manager’s job role?
-What is the major problem in it?
-What is the principle for defining this problem and for analyzing it?

A.) Know the Major Problem

Effectiveness and efficiency are the same between doing the right things and doing the things correctly.

Most of the managers fail on dissecting the real problem of a business. For instance, the manager focuses on the accounting concepts and data on how to make the business look smooth in the eyes of the investor who is not right because these financial tools focus on efficiency already. Yeah, I know how accounting works like magic but in the long run if the business is really on the verge of failing nothing can stop it— it will seriously happen. What matters most, the manager knows how to identify the areas of effectiveness that gives significant results and the method on concentrating them.


According to Peter F. Drucker, found in one of his management articles, stated that “while 90% of the results are being produced by the first 10% of the events, 90% of the costs are being increased by the remaining and result-less 90 % of events." The manager should put this on mind. Like if the business produces more on high-quality products but in the end, the sales are lower than the sales on other normal products they produce. Careful analysis should be examined before producing because not all the time the sales go up even if the consumer's demand is high there are problems that will come along, and the managers should know his way around in the business.



Being the Manager you should be careful in analyzing, allocating and deciding. You should scrutinize every detail before implementing that decisions and actions.


Minimize Cost - minimizing cost is like a life-sustaining machine of the business. Doing precautionary measure in expenditures would give a long life span on the business. Break-even, or shall we say, “No profit, No loss” is an effective measure in sustaining the life of the business other than producing volume of output but in the end, big losses are the result. Example of minimizing cost in the company I had worked before is “The cost –saving scheme” like recycling the paper use in the office as a notepad.
·Right Allocation- allocating employees, time, effort, materials and resources are essential in managing the business effectively. It doesn’t mean that producing a very expensive material would generate an income. For we didn’t know the purchasing power of every customer. Only few people can afford to buy a “Limited Edition or Sellers Item” products. Business should aim to what the common people could afford and usually buy.

Anyway, business is really a risk, if the manager doesn’t take the risk and know his way around whatever strategies or techniques are available the business still won’t prosper.

What is the best way to maximize productivity output?

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    • dwarfstar profile image

      dwarfstar 8 years ago from California

      thanks krizkins..

    • krizkins profile image

      krizkins 8 years ago from Davao City, Philippines

      Thanks Dwarfstar, Please do posting many of the tips and opinions on business..i am following you...Cheers