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Organisational Management – What is the Difference?

When it comes to organisational management, several terms are often used interchangeably, leading to confusion about their specific roles and purposes 🤔

This week’s article aims to clarify the differences between four key management concepts: management systems, management plans, management standards, and management procedures.

Management System

A Management System is the foundation of an organisation’s operational framework. It’s a comprehensive, enterprise-wide structure that establishes the overall policies and processes for achieving specific objectives. Management Systems are typically long-term and high-level, covering all aspects of an organisation’s operations.

For instance, a Work Health and Safety Management System (WHSMS), is a corporate-level collection of documents that outline the goals and structure of an enterprise’s overall safe operating procedures.

Management Plan

While a Management System provides the overarching framework, a Management Plan is more specific and detailed. Outlining how to implement aspects of the Management System for a particular project, site, or activity. Management Plans are typically shorter-term and focused on practical application.

For example, a Work Health and Safety Management Plan (WHSMP), is designed to implement the system at a local and site level, providing guidance and resources for specific situations.

Management Standard

Management Standards are specific requirements or regulations that support and provide direction to formal policies. They define what should be done and often establish uniform practices across an organisation. Standards are typically more rigid than guidelines and may be external (such as ISO 45001) or internal.

For example, a Management Standard might specify which hardware and software solutions are approved for use within a company.

Management Procedure

At the most detailed level, we have Management Procedures. These are step-by-step descriptions of how to perform specific tasks or processes in accordance with policies and standards. Procedures focus on the “how” of implementation, providing clear instructions for carrying out particular activities. They are typically established and maintained by process owners or asset custodians.

Key Differences

Let’s take it one step further… What are the main differences between these management concepts?

It lies in their scope, purpose, level of detail, timeframe, and flexibility:

  1. Scope: Systems are broad and organisation-wide, plans are project or site-specific, standards are uniform practices, and procedures are task-specific.
  2. Purpose: Systems provide the overall framework, plans implement the system in specific contexts, standards set uniform requirements, and procedures detail how to perform specific tasks.
  3. Level of detail: Systems are high-level, plans are more detailed, standards are specific requirements, and procedures are the most detailed with step-by-step instructions.
  4. Timeframe: Systems are long-term, plans are often shorter-term, standards are ongoing (subject to revision), and procedures are for immediate application.
  5. Flexibility: Systems are the most flexible, followed by plans, then standards, with procedures being the least flexible.

These management elements work together hierarchically: the management system provides the overarching framework, management plans implement the system in specific contexts, management standards set uniform requirements, and management procedures provide detailed instructions for carrying out specific tasks within the framework of the system, plans, and standards.

Let us know in the comments if you found this article helpful or if you have any questions👇