homemoney to purchasehow The duties and responsibilities of the various groups and individuals need to be carefully defined and the most suitable executive and procedural framework (such as clearly expressed standing instructions) drawn up to fit the special conditions of each company. Portentous words, perhaps, but they are at the heart of the matter. If the point is accepted that a business's profitability and its capacity to develop successfully in the interests of everybody in it are the two essential business ends, then much will depend on the effectiveness of the organization's structure aswell as the ability of its executives. It is essential to plan what the functions, as laid down in the organization structure, need to be and how they should be best grouped to achieve effective management. It is only then that a clear idea emerges of the qualities and experience that must be demanded from the various executives charged with filling the posts so evolved. The primary responsibility is that of the Board, or the working proprietors, or any equivalent top management group. These are the people who must determine the policy and the objectives of a company, while representing the interests of, and accepting a great sense of responsibility to, all concerned in the enterprise. Above all, and too often neglected as a top management responsibility, the Board must provide the judgement and guidance for the correct organization and control of the enterprise so as to ensure that the objectives are attained. A point should be made here about parttime directors. In this age of specialization there is often much to be said for the introduction into a company's top counsels of men or women who can give competent and objective advice on particular management aspects. Such people are able to produce a detached view which is in no way troubled by the internal politics, the intrigues, of the enterprise they are advising. They can be immensely helpful over problems such as industrial relations, finance, and marketing, and they are particularly valuable to the smaller business in which the directors tend to be far too close to management problems. What they cannot do is to replace the essential contact with executives which the daytoday top management must maintain. There are considerable differences in the approach to this question. Insurance companies and banks, in Britain at least, tend to people their Boards with a great number of distinguished names and, except in rare instances do not put the chief executive on the Board. There is also an infinity of smaller businesses which looks askance at the idea of anyone sharing in policy decisions who has not, so to speak, worked his passage. Vast organizations like I.C.I, or Unilever appear to believe in a mixture of the two. It should also be emphasized, while writing of Board responsibility, that the same principles apply whatever size the operation may be. Financehome