What is value management

Appreciative management

Appreciative Management; 1. Term: In addition to and in contrast to value management, denotes respectful leadership and is based on the need for psychological appreciation.

2. aim: The goal of appreciative management is to support value creation processes with motivational leadership dimensions that are inherent in appreciation. Ideally, the appreciation as a cultural element also works outwardly, for example, in that the employees live the appreciation in customer discussions and thus support the buying process and increase customer loyalty.

3. Background: In corporate management, a distinction is made between hard and soft factors that help determine the success of a company. The hard factors lead to the concept of value creation, while the soft factors lead to appreciative management. Value based management describes the numerically verifiable economic success of an organization and follows the material concept of value. The value management also includes the analysis, shaping and inclusion of common values ​​of the relevant reference groups of an organization and follows the immaterial concept of value. These two value concepts are based on different value concepts, which are both critical to the success of value creation: the value that can be measured across people (hard key figures: costs, capacity utilization, throughput times, etc.) and the soft value concept with values ​​that are not easily measurable across people (mood, acceptance, trust Etc.).

4. Aspects: The respectful leadership has often implicitly found its way into many places in management theory and practice. It is already explicitly laid out as a level of Maslow's hierarchy of needs from the 1940s, which is known from the theory of motivation. A big debate today is, for example, the gender issue and diversity management, i.e. the recognition and thus also the appreciation of diversity by management and employees for corporate success. The importance of appreciation can also be found in the increasing recognition of so-called soft skills in leadership analysis, in which, for example, the importance of emotional intelligence is emphasized, which in turn requires needs and value-sensitive leadership. In change management, too, which is also about dealing with resistance positions, can be interpreted as an expression of the debate on appreciation, which leads here to the importance of corporate culture and is characterized by the values ​​of an organization. The appreciative leadership extends to the approach of servant leadership, which was shaped by Robert K. Greenleaf and is identified as the management attitude of successful leaders.

Appreciative leadership is conceptually demanding because perceived appreciation not only depends on subjective feelings, but also depends on the prevailing needs of management or the employees of an organization. In this respect, it is an application of internal stakeholder management.

5. Instruments: With the Balanced Scorecard, appreciative management can be recorded as a leadership dimension in the form of central indicators such as motivational amounts for appreciation. In this respect, for example, bonus systems to be defined for the achievement of values ​​to be determined, such as the appreciative handling of work performance, the trustworthiness of executives, the internal and external service culture and many other conceivable characteristics can support the development and consolidation of appreciative management. In the literature, reference is often made to the appreciative inquiry. The aim is to understand instruments of empirical social research such as surveys not only as tools to obtain information, but also to use their motivational power. It consists in the participation character of surveys, is thus an expression of appreciation and is to be understood as the input of internal stakeholder demands into decision-making and / or implementation.