The theory and practice of management theories

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As a theory and practice, management theories goes back to the seventeen century, when aged Chinese empire had organized and trained their solders in a typically strategic presentation. However, its not until the late 1960s when the word strategy becomes widely accepted term in the bossiness and financial management (Burns and Stalker, 1961). Strategy and management planning has comprehensively developed over the last two decades. Project management and theories of management is a fundamental part of business planning and auditing. Since the recognition of management theories there has been extensive research on the effect of management theories on employee's performance and the production yield. It has been consecutively dominant to analysis and review the impact of each management theory on organisation management and human resources evaluation (Carley, 1997). Although, leadership and organisation interactions are reported by researchers to be the main focus of all management theories (Bennett and Gabriel, 1999). The implementation of right planning and management theory usually result on the succession of management methodology on achieving the project objectives on the planned time scale (Garavan et al, 1999).

No doubt, many of the problems associated with the management of project are mainly related to the wrong understanding of some managing objectives by both incorrect communications between mangers and their employees or the erratic behaviour of management teams. However, knowledge and error are ordinary elements on the education of management protocols (Savage, 1996). Clear understanding and implementation of management theories generally would lead to successful completion of operation tasks in efficient approach. This can only be accomplished by employing the correct management model and following conclusive studies and recommendations for the project outlines and operation criteria (Schein, 1988).

The role of various project management techniques to implement projects successfully has been widely established in areas such as the business planning, time keeping, control of cost, and quality management. In spite of this the distinction between the project and project management is less than precise. This paper aims to identify the overlap between the definition of the project and project management and to discuss how the confusion between the two may affect their relationship. It identifies the different individuals involved on the project and project management, together with their objectives, expectations and influences. It demonstrates how a better appreciation of the distinction between the two will bring a higher possibility of project success (Schein, 1984).

Critical Review of Alan Sugar's Opinions:

In This section will focus on constructive analysis of Alan Sugar personal experience on business and management application which been accumulated over the past forty years. This management knowledge can only be regarded as a personal experience for successful business achievement and not as authentically precise piece of standard management of project operation (Fishbein and Ajzen, 1975). On my opinion, management expertise without educational business administration and organisation learning is not enough for leading a successful financial and executive institution. Alan Sugar business experience only considers hard working as the most important aspect in achieving successful goals. Also he believes that his long term achievements on business operation and organisation leadership are a model of strategic management using creative business mentalities that survived over the years (Mumford and Licuanan, 2004). However, this unchanged mentality on business management is only regarded as an old fashioned leadership who employed unverified business theories, only exist on his mind. Even worse, the publication of his successful theories of business management and leadership had exposed him to criticism. In Britain, successful business stories cannot be accepted as s benchmark business model, unless cetin criteria have been placed on the project in question (Gray, 2004). Organisation planning, business forecasting, and comprehensive review of performance must be applied to all steps of project model. With reference to the article of My Secrets of Success, he accounted his success to hard working and determination to achieve something. This is not enough in modern project management world, where the need for exploration to the market place and inclusive analysis of the business needs is more important than the personal motivation for business success (Schein, 1999).

Several business associates in multinational organisation and official management institutions had questioned the business views and knowledge of Allan Sugar, describing it as personal experience which cannot appropriately be validated with the current business environment. Of course, some of the suggestions seems as a classic competency does not survive existing business challenges and demands. We have subsequently analysed these views and compare them with the principles and applications of management and leadership theories. We presented the similarities and differences between these classical and practical reviews and the appropriate educational management conventions. The differences in this critical analysis reflect the reality of successful business operation which requires a vast different set of practices, management skills, leadership techniques and administration tools than what are experienced over the past years.


Greater consideration has been given to the success of Allan Sugar as one of the most successful businessmen in the UK and Europe. This has created a model of him as symbol of winning and hard working entrepreneur. His successful story has inspired his employees and other individuals to put extra efforts required by their companies in order to increase performance and to inspire their mangers and fellow employees on a larger scale. Allan Sugar has always encouraged his employees to hard working and taking every opportunity to successfully increase performance and production (.Tavistock and Chakrabarti, 1974). In contrast to theoretical management application, this is regarded as increasing positive thinking and motivation among employee. However, associating this achievement with job promotion and financial bonuses is completely wrong as you cannot value employee performance with money unless creative ideas and exceptional performance have been demonstrated (Amabile et al, 2005). Although his statement on business challenges and tough market conditions is very disappointing, and you would expect entirely different view correspond to sufficient business planning, critical analysis of the market place and applying forecasting business objectives. On the other hand, today trade are full of challenges and many organisations therefore use creative ideas and sophisticated business tools to achieve a sustainable market place and profitable growth. Knowledgeable management processes frequently help businesses and organisations to enlarge and achieve increasingly business success.

The views of Allan Sugar about time management and planning came online with current business objectives in reducing processing time and accurate timing of all production steps. Successful mangers are unsurprisingly motivating their employees through the processes of production in order to manage their deadlines. This has been reported on many business and management practices where attaining business success is a lengthy process includes business strategy and innovation, performance review and analysis, supply chain management and finally customer and consumer feedback (Brown et al, 2005). However, building a successful organizations is not easily achievable, but by the education of employee hoe to interpret business problems and the reasons underlying this problems will direct them to problem solving knowledge which is an importance characteristic needed in today's employees of a successful organizational (Day and Lance, 2004).

Researchers had recognized eight common management practices which correlate to achieving successful business. These important management practices are focusing on business strategy, the implementation of constant operation production process, the development of performance-orientated culture among managers and employees, building efficient administration system, continuous transformation and innovation, responsible Leadership, and finally growth and expansion through partnerships and other forms of acquisitions (Worrall and Cooper, 2001). Figure (2) presents these practices and their association and interaction with other management methodologies.

Strategy: Devise and maintain a clearly stated, focused strategy.

Execution: Develop and maintain flawless operational execution.

Culture: Develop and maintain a performance-oriented culture.

Structure: Build and maintain a fast, flexible, flat organization.

Talent: Hold on to talented employees and find more.

Innovation: Make industry-transforming innovations.

Leadership: Find leaders who are committed to the business and its people.

Mergers and partnerships: Seek growth through merger and partnerships.

Figure (2): presents these practices and their association and interaction with other management methodologies.

By achieving these eight management practices organisations would accomplish their goals by increasingly enhance employee performance and ease the flow of administration process. By analyzing these management practices and compare it with Allan Sugar statement on the success chapter, we defined clear relationships between these management practices and some of his recommendation on action planes and business innovation. Also the reviews on self belief and willingness to achieve linked to the theory of motivation and performance of employee in management psychology. In addition, the report by Allan Sugar on the influence of stamina and enthusiasm on employee performance and success is similar to fact of determination and passion of employees is the cornerstone on achieving manger's goals. Generally, successful organisations are influenced by additional strategic and financial considerations following their success. This is reported to be increasingly related to the successful implementation and interaction of leadership and management practices.


Over the past two decades there have been extensive research on leadership styles and their roles on the formation of quality management system. Although, there are various different theories on leadership, but still the different in management practice seem unnoticed (Bradbury and Lichtenstein, 2000). The justification of the underlying variations in leadership and management practices between those theories still not clearly reported, however, personal leadership experience like this one contributed by Allan Sugar would improve the understanding of the different aspect of modern practical leadership. The accessibility to experienced business leaders either in management practices or financial institution is very crucial in the consideration of the effect of leadership on increasing employee's output and meeting business targets. Research on UK business practice has found that business bosses have been traditionally seems less qualified in contrast to their rivals in Europe and the USA (Bloom et al, 2005). Also the research established that even so still managers and leaders from the UK are averagely better qualified compared to the other individuals in the country. in general the concept of only high qualified managers or leader would contribute enough to their businesses tend to be completely wrong, as many unqualified business leaders have effectively succeed over their competitors (Bloom et al, 2007). This has not only been the case in the UK, but all over the world, I do believe on Leaders born by nature. In reality, Allan Sugar has demonstrated over the year a great business concept which enables him to successfully lead a profitable multi tasked organisation.

Allan Sugar stated that effective leadership is about earning respect, however, I totally do not agree with this statement. Effective leadership is a combination of clear vision leading employees and knowledge of the organisation management. This will always get all employees to trust their leaders or mangers in respect of taking every effort to efficiency contribute to the employee's work and add final direction. This agree with the time management skill which been highlighted by Allan Sugar, as time managing in project and organisation management is a core characteristic of leading managers (Goleman and Boyatzis, 2008).

Inexperienced leaders have always a very little contribution to their business. Without observing time management and self-discipline they will not fulfil their duties efficiently (Day, 2000). It is also true that, motivation and inspiration is a key skill in leaders, as it connect to the employees activities and Allan Sugar has all the time speak about motivation of them team will always start with the their managers and leaders. However, motivation and inspiration are not educational skills, as they only acquired by extensive experience on the right environment. Surprisingly, Allan Sugar has been forgetting to mention the role of education on generating successful leaders, its recognised that many of today's leaders are fully qualified on management and business studies. Management and business studies have undoubtedly improved in the last decade with the introduction of management and leadership training programmes (Bloom et al, 2007).

The concept of a great leader needs vast skills and characteristics that usually not found in normal peoples. Figure (3) explain some of these characteristic for successful leadership.

This will covers a wide range of skill, knowledge and talent that essentially needed in all mangers and leaders. These issues have not been covered by Allan Sugar statement. Essential skills usually increase the chance of the right employee to obtain leading roles and ensure rapid promotion within their organisation when managers comprehend their competence and performance in developing their work condition and achieve professional accomplishment (Hong, 1999). Successful establishment over the world focus on both professional and leadership development of their employees, however, Allan Sugar only believe on performance and final results on appreciating hard working employees in away make it very difficult for some employee to avoid such completion on reaching leaders targets (Roomkin, 1989).