Peter Drucker (1909-2005) was known as the "Father of Modern Management" and made important contributions including Management by Objectives (MBO) and identifying the knowledge worker. He wrote 39 books and regularly contributed to publications like the Harvard Business Review. Some of Drucker's key insights were that the purpose of business is satisfying customer needs, the role of management extends beyond internal concerns to include technology and end users, and knowledge workers are dependent on organizations to make their work productive. Drucker emphasized the importance of effective decision making, communication, and focusing on what is right rather than compromises. He is considered one of the most influential thinkers on modern business practices.

1. The Essential Drucker
Author - Peter Drucker
Originally published: 1 January 2000
Peter F Drucker
(1909 - 2005)
Shabd Priya
MBA- Ex
1828927

2. Who is Peter Drucker?
• known as the- Father of Modern Management
• Important contributions:
– MBO
– Concept of Knowledge Worker
– Marketing oriented organization
• Contributed regularly to
Harvard Business Review
The Economist
Wall Street Journal
• Fans and Followers include Jack Welsch (GE), Andy Grove
(Intel)
1909 - 2005)
25 honorary doctorates
39 books
Presidential Medal of
Freedom
Presidential Citation, NYU
7 McKinsey Awards from
HBR

3. • Purpose of the business is to satisfy the
needs of its customers
• Some of the questions an organization
need to ask frequently are
– Who is our customer?
– What should our business be?
– Planned abandonment -“If we did not do
this already, would we go into it now?”

4. Role of Management
• Everything that affects the
performance of the organization is a
concern for the management and its
responsibility.
• Traditional models perceive the role of
management is internal which is a
fallacy

5. On Marketing
Market standing is important irrespective of
increase in sales
Market standing to aim for should be optimum and
not maximum
Technology and End-use are limitations. Customer
value and customer decisions to dispose their
disposable incomes should be the focus for
management

6. 5 bad habits of organizations
• Not Invented Here
• Creaming a market
• Quality as perceived by self
• Illusion of a premium price
• Maximize rather than optimize

7. Effective
Decision
Making
Nature of
Problem-
Genric or
exceptional
Collect
Feedback
from actual
source of
events
Build
action
items
What is right as
the starting point
before
compromises and
concessions
Solution
should
satisfy –
boundary
conditions

8. Organization as a human community
One does not manage people. They should lead the
people.
Values are and should be the ultimate test..
Knowledge workers are dependent on the
organizations to make their work productive.
Organizations also take over some of the aspects of
a commune as knowledge workers interact, bond
and flock together.

9. Management by Objectives
Specific
Measurable
Achievable
Realistic
Timely
SMART goals should be derived from
corporate vision and should be set for
individuals, teams and departments.

10. Effectiveness vs efficiency
Processes and procedures
typically help in increasing
efficiency but only when the
right things are done results
are achieved.

11. Knowledge workers
• Knowledge workers own the
tools of their trade.
• Knowledge society allows
upward mobility.

12. Communications
 Communication is perception
 Communication is expectation
 Communication makes demands
 Communication and information are
different and mostly opposite – yet
inter-dependent

13. Thank you