Peter Drucker’s Five Questions
Peter Drucker’s five questions play integral roles in improving the management process in different sectors of the economy. Mark Thompson and Brian Tracy reviewed the five-question by Peter Drucker that was developed to help the executive in an organization to improve the quality of strategic planning and budgeting. The following are the five questions by Peter Drucker: What is the mission of the business? Who are the targeted customers? What do customers value most? What results does the company seek to accomplish and what is the plan of the business ( Drucker, 2017) . This paper aims to discuss the five-question by Peter Drucker.
What is the mission of the business?
This question seeks to ask why the business is existing. It helps to identify what the company is trying to achieve to satisfy customer needs. Currently, the management of different organizations uses this question to explain that goals and reasons why the business exists. It helps to set objectives of the business and ways that employees of a company must do to satisfy customers' desires. In doing so, this question helps the management of companies to identify the customers' needs and expectations that must be fulfilled to enable the company to achieve its objectives ( Drucker, 2017) . For example, this question is mostly used by the executives in an organization to set strategic goals relating to customer satisfaction that the business seeks to accomplish. Usually, the success of any business depends on the mission set by the management to ensure continuity of the business. Apple is an example of a real-world example of companies that have used this question to set strategic goals to achieve to satisfy customers. Apple has a well-designed organizational mission that guides the management to accomplish what the company seeks to meet to satisfy customers' needs.
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Who are the targeted customers?
This question seeks to identify the potential customers who the company is targeting. Usually, customers play essential roles in determining the success of any business. A business without customers may fail to achieve its objectives since it might face the challenge of making enough sales ( Drucker, 2017) . For any company to achieve its success, the management needs to identify targeted customers to protect the possible amount of sales the company can make over a given period. Identifying targeted customer also can help a company to know the level of production it should maintain to meet customer demand to ensure no surplus or shortage in the market. Typically, companies target different groups of customers, depending on the type of products they sell or product. For example, Apple primarily deals in electronics such as smartphones and laptops. As such, to earn reasonable profits, the company a mainly target specific age groups who can purchase their product to achieve organizational sale targets. Therefore, this implies that this question is essential because it enables the management of accompany to target the right customers.
What do customers value most?
This question tends to focus on customers' needs and preferences. Also, this question tries to consider factors that potential customers consider before buying a product. The question helps companies to produce quality products that meet what customers value most. In most instances, customers consider quality and price charged on products before making purchase decisions. As such, companies use this question to improve the quality of their products to meet customer needs ( Drucker, Hesselbein & Kuhl, 2016) . To achieve organizational goals such as profit maximization, the management needs to respond positively to what customers’ value most. For example, if the customers believe that quality is the most critical factor that must meet to purchase the product, the management should work towards producing the excellent quality product at that meet customers’ needs and desires.
Similarly, Apple considers what customers' value most in their products to persuade more customers to purchase its products. For instance, most Apple customers' value quality and prices charged on each product. As such, Apple value the most quality of its products to meet customer desires.
What results does the business seek to accomplish?
This question concentrates on identifying the goals and objectives a business entity seeks to accomplish. For any business to maximize its performance, it is crucial to locate the result or goals that the company tend to achieve. This question helps companies to identify the effects the management of a company wish to accomplish ( McDonald, 2016) . Apple Inc is an example of companies that use this question highlights the results that the company seeks to accomplish to improve organizational performance to achieve its goals. As such, this infers that this question is essential because it helps companies to achieve their goals.
What is the plan of the business?
This is the last question among the five-question by Peter Drucker. This question tends to understand the plan the company can use to achieve their goals. Generally, a business plan is a crucial driver in any company ( Zehner & Zehner, 2019) . As such, all companies need to have a business plan to act as roadmap used to coordinate organizational activity to help in achieving the goals and objectives of the company. Similarly, Apple has a goal business plan that is used by the management of a company to coordinate organizational activities.
References
Drucker, P. F. (2017). What Makes an Effective Executive (Harvard Business Review Classics) . Harvard Business Review Press.
Drucker, P., Hesselbein, F., & Kuhl, J. S. (2016). Les cinq questions fondamentales du management: l'essentiel de la sagesse de Peter Drucker pour les dirigeants d'aujourd'hui . Diateino.
McDonald, R. (2016). Peter Drucker's Five Most Important Questions: Enduring Wisdom for Today's Leaders. Leadership & Organization Development Journal .
Zehner, W. B., & Zehner, J. A. (2019). Marketing for Science-Based Organizations, Perspectives and Questions. Marketing of Scientific and Research Organizations , 32 (2), 77-106.
