Peter Drucker on Management Principles

  1. A manager is responsible for the application and performance of knowledge.

  2. Checking the results of a decision against its expectations shows executives what their strengths are, where they need to improve, and where they lack knowledge or information.

  3. Business, that’s easily defined – it’s other people’s money.

  4. Effective leadership is not about making speeches or being liked; leadership is defined by results not attributes.

  5. Efficiency is doing things right; effectiveness is doing the right things.

  6. Management is doing things right; leadership is doing the right things.

  7. Executives owe it to the organization and to their fellow workers not to tolerate nonperforming individuals in important jobs.

  8. Follow effective action with quiet reflection. From the quiet reflection will come even more effective action.

  9. Management by objective works – if you know the objectives. Ninety percent of the time you don’t.

  10. Most discussions of decision making assume that only senior executives make decisions or that only senior executives’ decisions matter. This is a dangerous mistake.

  11. Most of what we call management consists of making it difficult for people to get their work done.

  12. No institution can possibly survive if it needs geniuses or supermen to manage it. It must be organized in such a way as to be able to get along under a leadership composed of average human beings.

  13. Rank does not confer privilege or give power. It imposes responsibility.

  14. The best way to predict the future is to create it.

  15. The entrepreneur always searches for change, responds to it, and exploits it as an opportunity.

  16. The most efficient way to produce anything is to bring together under one management as many as possible of the activities needed to turn out the product.

  17. The most important thing in communication is hearing what isn’t said.

  18. The productivity of work is not the responsibility of the worker but of the manager.

  19. Time is the scarcest resource and unless it is managed nothing else can be managed.

  20. There is nothing so useless as doing efficiently that which should not be done at all.