Emerging Challenges and Issues for management
For the better management of the organization, the managers must be able to adjust to the emerging new challenges. Some emerging challenges for management are:
- Globalization of Business
- Ethics and Social responsibility
- Workforce diversity
- Building a Competitive Advantage
- Development of the environment
- Quality and productivity
- Innovation and change
- Knowledge management
- Multicultural effects
1o Major Emerging Challenges and Issues In Management
Describing management challenges as:
Globalization of Business
The globalization of business is one of the major emerging challenges for management. It occurs when an organization extends its activities to other parts of the world, actively participates in other markets, and competes against organizations located in other countries.
Transactions of business organizations take place across national boundaries. Globalization made the world a global village. In this process, a manager’s job is changing with
- Increased foreign assignments
- Working with people from different cultures
- Coping with anti-capitalism backlash
- Overseeing movement of jobs to countries with low-cost labor
- There is external competition for markets, and also for resources.
Ethics and Social responsibility
The increasing concern of roles and state of ethics in business. Managers are concerned because of the complexity of ethics in decision-making. Society is generally expecting more from business organizations. These organizations expect to contribute to the quality of life and society. Environmental issues have become matters of widespread concern. The manager will determine the extent to which these social responsibilities and ethical issues are handled and managed.
The people in organizations are becoming more heterogeneous demographically (disability, gender, age, national origin, non-Christian, race, and domestic partners). A diverse workforce includes women, the physically disabled, senior citizens, etc. Managing this diversity has become a global concern.
Challenges facing by management is adapting to people who are different to make themselves more accommodating to diverse groups of people by addressing their different lifestyles, family needs, and work styles.
Diversity is not managed properly. There is a potential for higher turnover, more difficult communication, more interpersonal conflicts. Managers should recognize the differences among employees and respond to them in ways that will ensure employee commitment.
Decision-making is pushed down to the operating level. Workers are now being given the freedom to make choices about the schedule, procedures, and solving work-related problems. Earlier managers were encouraged to get their employees to participate in work-related decisions. Now managers allow employees full control of their work. Thus managers engaged in empowering employees. Similarly, the manager provides more information to employees to make them aware of the problem and the prospects of their organization.
The technological environment consists of innovations, techniques, and the organized knowledge of the way of doing things. Modern business is characterized by newer and ever-changing technological developments. This calls for the technological perspective in management. They need to recognize and anticipate technological changes.
Technological changes result in a modification in products and services; in the way, they are produced and marketed. The managers must, therefore grasp a proper understanding of these aspects of technological context.
Building a Competitive Advantage
Increasing Efficiency in Reducing the number of resources used to produce goods and services. Also, increasing Quality Introducing Total Quality Management (TQM) to improve quality. Similarly, to increasing Speed, Flexibility, and Innovation Adapting to bring new products to market faster. Increasing Responsiveness to Customers Empowering employees to deal with customers.
Development of the environment
Environmental issues are major issues in management these days. These issues like deforestation, global warming, depletion of the ozone layer, toxic wastage, and pollution of land, air, and water. May not be these issues are a matter of to an enterprise. But, these matters draw the attention of different social, business, and political institutions.
Quality and productivity
It is practically the quality and productivity are supplementary or auxiliary to each other. Quality supports to maximize productivity and ultimately minimizes per unit cost of output. And, minimizing cost depends on the skills of the manager.
Innovation and change
The innovation of new knowledge and change of expectation of stakeholders are emerging challenges to the present manager or management. Where facing the change is the critical challenge to the manager. It or change may occur in the attitude and behavior of stakeholders like competitors, customers, employees, suppliers, and lenders. Thus, it is an important responsibility of managers to handle such a change in a scientific and practical way.
Employees are the primary source of knowledge. And as far as possible their ideas should be accumulated to prepare plans and policies. It is due to the expectation of society such as new ideas, new things, and creativity in the product or service from any organization. And, on the basis of requirement, it is essential to hire new knowledge from outside.
An innovation of modern communication and transportation system has tied the multi-cultured people together. They work together to meet their common and professional goals or objectives. In the present context, the involvement of cross-cultural professions in the organization is continuously increasing. Therefore, the involvement of multicultural people having different traditions, values, social attitudes, religious beliefs, and living approaches creates a new challenge to the manager.
Hence, these are all the emerging challenges for the management in an organization.
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