Management by Chaos Theory with a Case-Study from Shipping Industry
- 1 Marine Economics, University of Piraeus, Department of Maritime Studies, Faculty of Maritime and Industrial Studies, Piraeus, Greece
- 2 Shipping Department, Business College of Athens, Athens, Greece
Abstract
We presented the two faces of Management: the linear and the nonlinear. The second we named it Management by Chaos Theory, and we used the limit cycle tool to determine the order of chaos , in which companies, most probably 61% of them will face the highest order of chaos . We showed also how the technique of full Descartes’ Diagrams, using changes in variables, may help managers. We presented diagrammatically how a manager can manage his/her company by visioning. We presented also a historical making-up of Linear Management since 1911 and contrasted it with nonlinear one, clarifying the terms of mission and vision . We grasped the opportunity to analyze the mission of a shipping company, and use its 12-year activity as a case study. This company found itself in high order chaos from 1996 to 2000. The paper showed how a manager could not get in a Chaos area and if in it, how to get out.
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