Business, Management

What Is an Effective Enterprise

enterpriseGenerally speaking, a company or an enterprise is effective when it reaches the goals and objectives. According to the enterprise’s purpose, the goals and objectives must be realistic and practical. The enterprise has to innovate and renew itself while the management functions are executed efficiently.

To meet its goals, the enterprise-either public or private-must benefit of aggregated individual actions with full support for the desired direction. Usually the decisions are far from simple and suppose complex analysis which may sometimes lead to conflicts or inappropriate choices and results. Wrong actions and decisions are followed by mistaken expectations. Insufficient knowledge, internal political pressures, lack of understanding-all these can lead to inappropriate evaluations and wrong judgements of company’s outcome.

In such complex circumstances, each action is important and contributes to achieve the enterprise goals and objectives. Small individual actions must be effective and aggregate into consolidated groups of enterprise-level actions. For the consolidated actions to satisfy the objectives, small actions have to emerge to the same goal-such as delivering high quality products or services to clients at affordable costs-represents the aim of the aforementioned consolidated actions.

Implementing strategies and visions through its employees, policies and organizational structure, an effective enterprise is based on coordinated actions, acting intelligently in the present and capable to deal with challenges of the future. An effective enterprise makes tradeoffs between long-term and short-term requirements while meeting both its own goals and stakeholders’ objectives. For the enterprise to be viable in long term, managers must know how to tackle unexpected situations, deal with responsibilities and challenges.

For many enterprises, these responsibilities also refer to environmental and societal issues, narrowing their operating perspectives. The organization is an integrated element of these systems and its actions will directly influence its long-term activity. Not only the employees are affected but owners, suppliers and customers too. When the management team and the employees do the right thing, the enterprise can address challenges more effectively, enjoying overall viability and success.

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