Three relevant factors to compete

Edição XXIII | 05 - Set . 2019

Eleri Hamer -

    We have learned that companies, among other things, need to be well-defined or at least have to worry daily about the objectives, purposes, mission, values, products and services offered.

    Obviously it is not an easy or a simple task to balance these different issues that involve the day to day management of the organizations. In addition, there are numerous other relevant issues that are more associated with implementation bias, such as business management, financial and cost aspects, for example.

    There are aspects that change little over time in organizational relationships. Others, although they have always existed, become relevant in certain scenarios or even sectors.

    But there are three points that should be highlighted in this regard: the first is the didactic clarity of how organizations are structured in levels and areas, the second is the importance that purpose has assumed as a structuring role of competitiveness, and the third is the crucial role that as relationships have acquired on competitive assets.

    Levels and areas of management

    The organizational structure, with some variations, has remained much the same since modern management took shape. It is possible to divide companies into five major areas and three different management levels.

    Areas can of course be properly structured, with their respective trained and allocated departments, or simply grouped as appropriate when companies are smaller and their business models are still in formation.

    Therefore, although they are not demarcated, it is essential to keep in mind their necessary functionality and the co-responsibilities that managers need to observe.

    Thus, the following areas stand out: Financial Management, Market Management, Asset Management, Human Resources Management and Production Management. In general, everything that happens in an organization will be linked and should be managed with one of these areas in mind all at the same time.

    On the other hand, organizations do not operate linearly, and so there are levels in which the environments of responsibility, action and return come together. Thus, most companies end up obeying the division at the strategic, tactical and operational levels.

    It is no simple task to frame what each field represents. It is true that the capillarity between levels and areas is a decisive factor for success. If the practice is represented by the model separately, it is fearful that we have a slow and ineffective company. This is why this capillarity and continuous integration is fundamental.

        When buying or selling, or when dealing with banks and suppliers, we aim to create some kind of relationship, since if we reach our goals we want them to recur.

    The purpose as a beacon

    From another point of view, there is a wealth of literature, supported by consistent research, that argues for one particular item as one of the successors of organizations: purpose.

    In practice, nothing seems to be more important than having a consistent purpose. It is even recognized that companies with no clear purpose are more likely to succumb to the competitive market or recurring adversity.

    Importantly, purpose is neither vision nor mission, nor the values of the organization. Purpose is a tangible reason, the reason why people are lending their time and effort to contribute to the organization. Right now, the purpose is hardly money.

    Only a company that has a clear purpose can really offer something to the market, different from those that just want something from it. Notably, the relationship is cause-effect: the return is consequential for those who have a stated purpose.

    By way of example, I really like the Algar Group’s purpose: “people serving people”. One can see in it a clear vision of the concern with the market and how it will deliver to it. This relationship must be closely connected with all stakeholders in the company and not just with the market, although it is probably one of the most relevant.

    Another intricate and complex aspect is that each of us has our individual purposes and that they must be closely associated with the company’s purposes. I guarantee it is not something simple to achieve. Precisely for this reason, very relevant.

    Regarding organizations, I venture to say that agribusiness is one of the sectors in which there are a large number of companies whose purposes are more evident and directly influence their performance. In agriculture, in particular, this issue seems even more obvious, probably because the creation of these organizations follows a track record largely based on the sacrifice of their founders and the strong family bond.

    Relationship -

    A Competitive Asset

    Finally, organizations play many different roles. But none of them have the relevance of the relationship. It is no coincidence that in work futurism exercises the complexity of the relationship has emerged as one of the skills capable of saving jobs.

    But I go further. It is not only the worker’s space that will be safeguarded when he is intensely concerned with his ability to understand people and the complexity of relationships.

    In sales, for example, the so-called complex, humanized or consultative sales play a relevant role in a very near future scenario, surrounded by automation and artificial intelligence. It has an additional strategy for increasing employability and maintaining the human context of the emerging work environment.

    In the interface with the environment, each company urgently needs to understand which relevant stakeholders and which relationship strategy will be developed, both internally and externally.

    In practice, what your business really does is relationship. When buying or selling, or when dealing with banks and suppliers, we aim to create some kind of relationship, since if we reach our goals we want them to recur.

    This becomes particularly relevant when we assume that your company’s core objective should be to “attract and retain customers.” This is what your company must pursue if it wants to exist.

    With this mission, it is not difficult to understand that the entire company needs to be engaged to fulfill it. Thus, every company and all people in the organization, for example, need to know how to sell, worry about cleanliness, reception, among other aspects.

    To the next.



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