The technology sector’s grip on the best positions in the annual Management Top 250 positioning slipped for this present year.
Microsoft Corp held firm and came in at No. 1 in this ranking of the best-run businesses in the United States for the third consecutive year. Yet, in contrast to last year, when tech organizations took the initial five spots in the positioning, the current year’s main five incorporate General Motors Co. at No. 4 and Whirlpool Corp at No. 5.
With positions of second and third, respectively, Apple Inc. and International Business Machines Corp. complete the top five in 2022.
Other well-known tech companies did not fare as well. After a boom that was caused by the pandemic for two years, companies like Meta Platforms Inc. and Amazon.com Inc. have seen their revenue rise at a slower rate. According to the Drucker Institute at Claremont Graduate University, those two companies, as well as Alphabet Inc., which is the parent company of Google, Uber Technologies Inc., and Salesforce Inc., all fell in this year’s ranking.
Amazon maintained its position in the top 10, but its overall score decreased the most of any company in this year’s Top 250, falling from second to eighth. Meta dropped from No. 31 last year to No. 130 this year, posting the fourth-largest overall decline in the group.
“What you are seeing is some weakness in financials relative to where they’ve been in past years and also some deterioration in customer satisfaction” in the tech industry, says Rick Wartzman, head of the KH Moon Center for a Functioning Society, a part of the Drucker Institute. But, he says, “tech companies are still riding quite high overall, and they still by and large dominate the top of the list.”
The Drucker researchers believe that a growing emphasis on the production of electric vehicles, which contributed to automakers’ social-responsibility scores, contributed to their significant gains. General Motors rose from 16th place last year to fifth place, followed by Tesla Inc. and Ford Motor Co. Analysts also say that an improvement in supply issues, which helped some car companies’ customer-satisfaction scores, contributed to the industry’s rise in the rankings.
The purpose of the Management Top 250 ranking is to highlight businesses that have performed admirably across a variety of management priorities, which may sometimes be at odds with one another. It utilizes the late administration master Peter Drucker’s standards to recognize the organizations that are generally actually made due. Over 900 businesses were evaluated this year in five categories: satisfaction of customers, engagement and growth of employees, creativity, social responsibility, and financial stability
All-stars are businesses that score in the top 15% to 20% in each of the five categories of the ranking, and “red flags” are businesses that receive significantly low scores in particular categories.
This year, seven companies made the all-star list: Apple, Mastercard Inc., Procter & Gamble Inc., HP Inc., Pfizer Inc., Accenture PLC and Visa Inc.
