Regardless of the size of the company, the fact is that managing a business effectively and successfully is not an easy task, but we know that there are some tools that can make this task easier. That's why we've listed 05 indispensable tools for business management.
We know that all companies are always working towards one main goal, which is to increase profitability and reduce unnecessary expenses, and that's why it's so important that the aim of each of the tools we're going to talk about next is to help leaders, managers and companies in general to achieve their goals more easily, quickly and with fewer mistakes.
Check out the following 5 indispensable business management tools for your day-to-day life:
1- PDCA cycle
We can't fail to mention the famous and much-loved PDCA cycleThis tool is a management technique used mainly to validate the quality of the most widely used processes in the world.
In translation, each acronym represents an action: Plan, Do, Check, Act. The PDCA cycle allows us to check the effectiveness of action plans that are being put into practice.
2 – Spot Management
Visual management is the best ally for companies that want to make their goals and objectives clear and visible to the team. The management at a glance methodology allows you to present your results and indicators to the whole team. In this way, the team is always aware of what has already been achieved and what needs to be done to achieve the expected results.
This is a methodology that, when applied well, can have a very positive influence, especially on sales teams, as it is a way of encouraging those who are a little short of reaching their maximum results, and ends up influencing those who for some reason are a little further away.
3 – Swot analysis
The Swot Analysis or Swot Matrix, as it is also known, is also one of the best-known and most widely used tools in the business world by managers, especially when it comes to strategic planning.
Each of these acronyms represents internal and external factors that must be analyzed. These factors are:
- Strengths
- Weaknesses
- Opportunities
- Threats
Swot analysis allows you to analyze and deepen your knowledge of your business and the market in which it operates.
4 – GUT matrix
The GUT Matrix has three pillars: Severity, Urgency and Tendency. These pillars are intended to help you draw up strategies and also solve problems. The GUT matrix allows you to classify each situation in your company according to the pillars that give it its name:
Gravity: The manager analyzes the level of impact (quantitative and qualitative) if the situation is not resolved. Each situation is given a score from 1 to 5, where 1 is not serious and 5 is extremely serious.
Urgency: The urgency pillar is used to measure how long it will take to resolve a given situation. The score for this parameter also ranges from 1 to 5, with a score of 1 being something that should wait and a score of 5 being something that needs attention and resolution immediately.
Trend: The trend pillar examines how the situation is likely to evolve, so it helps to define whether it is something that should be resolved and what the impact will be if it is resolved immediately or later. A score of 1 means that nothing will change if it is not resolved and a score of 5 means that there is a risk of rapid change if it is not resolved.
5 - Ishikawa diagram
The Ishikawa Diagram is a graphical tool that helps organizations analyze the cause of a problem. The Ishikawa diagram is also popularly known by some other names, such as: Fishbone Diagram, Cause and Effect Diagram, or even the 6Ms Diagram.
The purpose of the Ishikawa diagram is to help management and leadership teams get to the real root of the problem, discovering not only the main cause, but also the factors that influence the predominant cause.
Now that you know about these 5 tools that are indispensable for business management, choose at least one and start studying more about it and putting it into practice within your company.
