Governance, management, and YOU!

A thought snippet of jlvk

There is nothing to manage in absence of dynamics, where dynamics is the system behavior of the living entity that exhibits supply-demand equilibrium, social influence, and competitive game matrices. Society is a living entity made up of individuals, organizations, core activities that sustain it, and a set of rules that keeps it intact.

Humans have the natural predisposition to realize individual goals as part of the survival instinct. Natural selection and ordering was the limiting factor that capped the extent to which an individual could go in fulfilling his/her wants or needs prior to civilization. Harshness of the environment and scarcity of key resources necessitated the consolidation and more often than not, entailed the sacrifice of certain wants or needs for the good of the human race. When we speak of governance versus management, we are actually seeking the key to sustainability. Consider the fundamental scenario of a shortage of food not amounting to a nationwide famine: how would the individuals in the nation go about living the very next day to stay alive throughout this simple test of fitness?

The individuals should reduce excess intake, reduce wastage, increase substitute staple, and increase adaptability--this is the normative principle that has to be agreed upon by the majority of the population in order to take effect. And once these four measures are swinged into effect, the necessity to keep them operating in a sustained fashion arises--this is the modus operandi to achieve the common goal of survival, and there are many parameters to set and tune and balance in order to keep the population as a dynamic system comprising economic and social interactions, well within the optimal operating region.

How about another scenario of a private company facing cashflow bottlenecks? The four measures mentioned in the previous paragraph apply relevantly. The need for managers and supervisors arose from the need to maintain discipline and control, as far as the survival of the company is concerned. In a country of democracy companies compete against each other without regard for the bigger cause of survival as a nation. So how do we ensure that all companies dutifully discharge the economic and social duty? We need sound policies, and sound policies necessitate a good government led by clear-headed men and women free from all materialistic encumbrances and all conflicts of interests--at least in principle we have to define the ideal condition fit for a pragmatic world, or we might as well just give in to the Taoist philosophy that the best government is the government that does no governing.

Yet we do not dismiss the Taoist philosophy because we know that in a perfect world made up of perfect beings, zero-governance and zero-management are entirely possible. In addressing the question policies versus the efficacy of their implementation, I am bringing up a discussion on governance versus management.

Governance is hands-off in nature: in a way that the governing body (i.e. the government) do not interfere with the day-to-day management of the lawful entities (such as private companies) once the rules have been set in place. The government, however, employ the feedback loop to detect deviations and measure compliance; so long as the entities comply each individual serving under each entity should receive positive gain--and this defines a successful government.

As governance operates on the macro scale, there is also a need to tangibly project the macro vision onto the entities led by the directors and bosses. Directors and bosses are to steer and direct their organizations prudently, and to always act in good faith, stewardship, duty, openness, transparency and integrity--this is good management and as economically productive individuals we need to ensure that we make conscious effort to run an honest business or work in a company led by an honorable managing director--therefore you should be aware that you as an employee has a say in the company's annual general meetings. Even if you are not seated in the meetings, you are always entitled to a representation by way of a written petition signed by a number of your colleagues. You can decisively put a stop to being shoved around in corporate tyranny as you contribute your small but meaningful effort to the sustenance of good management in your company on the micro scale.

More interestingly, on the macro scale, who can keep a watchful eye on the good governors to ensure that they too, having taken the oath of office, to dutifully discharge their duty to govern? You, as a voter, can! Be a clear-headed voter! Choose the best men and women to govern!