Every organisation needs to identify and manage many activities to function effectively. For example: strategic goals, customer requirements, corporate policies, business opportunities, risk management responses, regulatory compliance requirements and contractual obligations are all triggers for action and therefore need to be managed.
Even in the best run organisations there is enormous waste of effort. Introducing a management system (e.g. COBIT APO01) to better organise the effort will cut costs and lead to substantial productivity improvements.
An organisation should start with organising activities into processes, each with a common goal. Once this is completed, they develop a management plan. Next they establish, implement, operate, monitor, review, maintain and improve their management system. Using a "management system" to organise and coordinate activities provides a systemic approach to reducing waste and lifting productivity.
Success comes from using the familiar Deming “Plan‐Do‐Check‐Act” model.
The management's plan identifies and prioritises the issues and actions that need to be undertaken for the organisation to function effectively.
Instead of relying only on the efforts of individuals, process owners plan and direct the actions and related activities, filtering the triggers for additional work and ensuring that resources are only being consumed for valid activities aligned with the strategic objectives of the organisation.
The management plan focuses on ensuring proper attention to activities in each component of the “Plan‐Do‐Check‐Act” model. It also focuses on the collaboration between processes ensuring that all of the requirements for the organisation to function effectively are carried out optimally and that the organisation’s strategic goals are achieved.
The management plan is turned into action with the aid of an Implementation Plan.