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Theory of the Business Hörbuch

Theory of the Business: A Clear Focus on Your Core Mission

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Inhaltsangabe

This audiobook was created based on Peter Drucker's long business, consulting, and writing career. He focuses on what to do, what not to do, and how to keep a clear corporate identity and mission.

He addresses how all organizations eventually go obsolete and their theory of their business no longer works. It addresses how GM did not move from income based to lifestyle based marketing for their cars, thus hastening their demise after seven decades of success betting on incomes only. He also points out, though, that the GM theory of the business still worked for Hughes and EDS, which GM bought. He describes how organizations must choose how to do things. This, he says, is why IBM was paralyzed by the different requirements of a PC versus Mainframe business.

He states there are four specifications for a valid theory of a business: assumptions must fit reality; these assumptions about the environment, mission, and core competencies must fit together; the entire organization must know and understand the theory of the business and act accordingly; and the theory of the business must be tested constantly to be kept up to date. When testing the theory of the business, three things must be done if there is an issue: preventive care, early diagnosis before the problem becomes fatal, and applying the cure.

This is a must read for all managers and entrepreneurs in all types of organizations: nonprofit, educational, governmental and companies.

©2010 Peter Drucker (P)2010 Christina Brown

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