“History’s great achievers—a Napoléon, a da Vinci, a Mozart—have always managed themselves. That, in large measure, is what makes them great achievers.”
—Peter F. Drucker
Preface
Widely regarded as the “father of modern management,” the late Peter F. Drucker is known for his humanistic approach to leadership. This book presents two of his articles: Managing Oneself and What Makes an Effective Executive. Together, they provide timeless wisdom about managing ourselves and others.
Article I: “Managing Oneself”
Introduction
It used to be that only exceptionally talented people striving for greatness needed to manage themselves. Nowadays, self-management is essential for everyone. Even those of us with modest abilities must cultivate self-knowledge and place ourselves where we can be alert, engaged, and productive throughout our working lives.
Section 1: “What Are My Strengths?”
Historically, people were born into a line of work and remained in it regardless of their abilities. Today, we have the freedom to choose what we do. To choose wisely, we must know our strengths. We can learn what we’re good at through feedback analysis, which involves comparing the expected outcomes of our actions and decisions with their actual results. Once we identify our strengths, we should work on improving them, put ourselves where we can leverage them, and acquire the skills and knowledge that we need to fully realize them. Of course, feedback will also reveal our weaknesses—including bad habits, poor manners, and areas of incompetence. While we should remedy our bad habits and develop good manners, our overall focus should be—not on becoming better at what we struggle with—but on becoming great at what we’re already good at.
Section 2: “How Do I Perform?”
While knowing our strengths is important, so is understanding how we work best. To achieve results, the capacity and environment in which we work must be compatible with, among other things, how we best learn and absorb information, the pressures and responsibilities we can handle, and the degree to which we are collaboration-oriented. Drucker advises against trying to change ourselves, explaining that we’re unlikely to succeed. He also cautions against taking on work we’re ill-suited for or likely to perform poorly.
Section 3: “What Are My Values?”
More important than our strengths or how we perform are our values. Regardless of how capable we are at succeeding in something, if it conflicts with what we value, it may not be worth doing. To identify our values, we can use the mirror test, where we consider what kind of person we want to see in the mirror each morning. To be effective in an organization, its values must align with ours. They don’t need to be identical, just “close enough to coexist”—otherwise, we may find ourselves frustrated and unmotivated. Among the values to consider are those pertaining to the role and priorities of the organization and the responsibility of management.
Section 4: “Where Do I Belong?”
Understanding where we belong—and where we don’t—is something most of us don’t figure out until we’re well into our twenties. By then, we should know our strengths, how we perform, and our values. This knowledge should guide each decision we make to accept or decline an opportunity, offer, or assignment. It should also be used to inform potential employers of what we’re capable of and the conditions we need to thrive. By placing ourselves where we belong, those of us who are competent and hardworking can enjoy a successful career.
Section 5: “What Should I Contribute”
Throughout history, the contributions of most people were determined by their roles or the expectations of their superiors. Even knowledge workers in the mid-20th century relied on organizations to plan their careers. The late 1960s saw a shift toward individual choice—where “doing your own thing” was encouraged—but that proved unsatisfying and unproductive. Today, we must instead ask, “What should I contribute?” To answer this question, we need to consider what the situation requires and how we can best serve, given our strengths, way of performing, and values. Our contributions should be ambitious yet realistic, achievable within 18 months, meaningful, visible, and, if possible, measurable.
Section 6: “Responsibility for Relationships”
Most of us don’t work or achieve results alone, which means that to manage ourselves effectively, we must take responsibility for our relationships. Drucker reminds us that the people we work with are individuals like us and that our success is intertwined with theirs. He also tells us that effective collaboration requires trust, which comes—not from liking—but from understanding one another. To be effective, we must learn about our coworkers’ strengths, ways of working, and values, share those aspects of ourselves with them, and adapt to the point of mutual efficacy. When working with people who have different tasks and responsibilities than we do, we should also share our contributions and expectations and seek to understand theirs.
Section 7: “The Second Half of Your Life”
There may come a time (if it hasn’t already) when we’re no longer fulfilled by the work we do. If and when that happens, we might consider a second career. We might move to a different type of organization or switch to a new line of work. Or we might remain in our current position on a full-time, part-time, or consulting basis but develop a parallel career (perhaps as a founder or member of a nonprofit organization). Managing the second half of our lives in this way can benefit ourselves and society far more than if we were to coast until retirement. It also gives each of us another opportunity to become a leader, earn respect, and achieve success.
Conclusion
Unlike in the past, when organizations outlived workers and employees spent their careers at the same company, today’s knowledge workers outlive organizations and are highly mobile. This shift requires each of us to act as the CEO of our own career—which means taking responsibility for our growth and direction.
Article II: “What Makes an Effective Executive”
Introduction
Effective leadership is not about charisma or talent. In fact, successful executives vary widely in personality, attitudes, and leadership styles. What makes them effective isn’t their demeanor but their commitment to eight key practices: identifying what needs to be done, considering what’s right for the organization, developing action plans, taking responsibility for decisions and communication, focusing on opportunities, running productive meetings, and thinking and saying “we” rather than “I.”
Section 1: “Get the Knowledge You Need”
Effective executives, regardless of what they want to do or are asked to do, routinely ask, “What needs to be done?” and “Is this the right thing for the enterprise?” The answer to the first question guides their priorities, ensuring their efforts align with what is most critical and impactful. (Drucker tells us that whenever there are several urgent tasks, they focus on no more than two at a time and delegate the rest to whoever is best suited to handle them.) The answer to the second question guides their decisions, ensuring they serve the long-term interests of the organization before the short-term interests of any one of its stakeholders.
Section 2: “Write an Action Plan”
Effective executives make action plans that guide how they spend their time. Without such plans, they risk allowing daily events to distract them from their more meaningful, long-term objectives. When drafting these plans, they consider their expected contribution, any restraints on their actions (including legal and ethical ones), how often to evaluate their progress, and when revisions may be necessary. Drucker stresses that an action plan should remain flexible, serve as “a statement of intentions rather than a commitment,” and include check-in points during which results should be compared to expectations.
Section 3: “Act”
Effective executives take action. They communicate their action plans and information needs to their colleagues. When making decisions, they identify and inform everyone who is responsible for them, affected by them, or otherwise in need of knowing about them. They make sure that problems are addressed but focus more on finding and exploiting opportunities. They make their meetings productive by determining their format ahead of time, sticking to that format, and ending them as soon as their purpose has been fulfilled. They also periodically review their decisions so that they can correct their mistakes before they cause harm, assess whether their assumptions were valid, and recognize patterns in their own strengths and weaknesses to improve their future decision-making.
Section 4: “Think and Say ‘We’”
Effective executives think and say “we” rather than “I,” as they understand that their position of authority is contingent on putting the organization’s needs and opportunities above their own. They bear ultimate responsibility, and this practice reinforces their commitment to the organization’s success.
Conclusion
Drucker introduces one final rule: “Listen first, speak last.” He then reminds us that although effective executives differ in personality, strengths, and values, they all “get the right things done.” While some may be naturally effective, he emphasizes that effectiveness is a discipline—one that “can be learned and must be earned.”