“The first requirement in managing managers is therefore that the vision of the individual managers be directed toward the goals of the business, and that their wills and efforts be bent toward reaching these goals. The first requirement in managing managers is management by objectives and self-control.”
Chapter 10 shifts from business to management requirements. From laying a foundation for results to building on the foundation.
Strong, competent managers, who take responsibility and possess the authority to achieve goals make businesses flourish. Drucker tells the story of The Ford Motor Company’s near collapse under Henry Ford’s centralized managerial approach. When the managers were given the liberty to deal with problems and achieve objectives they triumphed.
Drucker’s management by objectives approach decentralizes responsibility and authority and accomplishes business performance.
(The Practice of Management, chapter 10)