Management by the numbers

Management by the numbers
See also
Decision types in business Operational research Origin and development of the management science Knowledge management Strategic management system Personnel controlling Organization of administrative and office work Behavioral aspects of decision-making Importance of communication

Management by the numbers is broad concept involving using gathering of statistics data, applying mathematical and numerical methods as a main and (sometimes) only technique used by management. This concept is closely related with operations management and both uses same methods and techniques in:

• decision making - the process of choosing among alternative courses of action in order to achieve a goal or solve a problem.,
• performance planning and monitoring - involves setting targets and objectives for an organization or individual, and regularly assessing progress towards those goals.,
• capacity planning - the process of determining the production capacity needed by an organization to meet changing demands for its products or services.,
• inventory management - involves overseeing the flow of goods and materials, including ordering, storing, and tracking inventory levels.,
• supply chain optimization - involves the coordination and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities.,
• scheduling and project management -involves planning and organizing resources, such as people and equipment, to complete a project on time and within budget.,
• resource planning - involves identifying and allocating the resources an organization needs to achieve its goals, such as personnel, materials, and equipment.,
• forecasting and simulation - is the use of statistical and mathematical techniques to predict future events or outcomes, and to test different scenarios in a simulated environment.

The concept of management by the numbers completely ignores aspects of social relations prevailing in the organization, the relationship between employees and management, communication, motivation, etc.

References

• Cesarone, J. (2007). Project management by the numbers: How earned value analysis can keep you on track. Industrial Engineer, 39(11), 36-42.
• Chase, J. (2012). Operations management. Tata McGraw-Hill.
• Hummel, R. P. (2006). The Triumph of Numbers Knowledges and the Mismeasure of Management. Administration & Society, 38(1), 58-78.
• Krajewski, Lee J., Larry P. Ritzman, and Manoj K. Malhotra. Operations management. Vol. 8. Prentice Hall, 2001.