One structure for management information systems that any enterprise can use: the business
What if there was one structure for consistent and comprehensive management information on the complete enterprise business? The structure has existed all along, but has never been used to define enterprise needs and to develop consistent solutions to meet the needs. That structure is the business!
The enterprise business is defined as “investments in capital as solutions of worth utilized for costs and effectiveness of performance to produce value and quality in results”. The business consists of three data entities:
- Results: The economic outputs that create the value from the business such as products, orders, and revenues
- Capital Solutions: The investments in the business that are implemented as specific solutions as business, human, facility, and management capital
- Performance Domains: The capital consumed and utilized in performance to produce result value and generate the costs incurred by the business such as personnel, equipment, cash, and processes
The enterprise business structure is like a large spreadsheet with the results produced by the business defined by the columns and the solutions that produce results defined by the rows. A cell or performance domain records where a specific capital solution row is utilized to incur costs and produce value in a specific result column. All the capital solution rows utilized by one result column add up to the full cost and data for producing the result. All the result columns that utilize a solution along a solution row add up to the full solution costs and solution utilization data and attribute result values produced for solution return on investment and solution worth determination.
An Integrated Business Management System can manage any enterprise through actual business data
What if there was a packaged Business Management System, where we created an enterprise Business Information Base by simply filling in the results we produce and the capital solutions we use, with the computer aids to make it simple? Then we click the relationships between results to build result chains and summary levels. Then we click the capital solutions that produce a result to define performance domains. We could add future results and capital solutions and plans by time period for the business strategy. We could manage enterprises for our own enterprise family, including our projects, and for suppliers, solution providers, and customers. We could relate results to details we keep on products, sales, etc. and we could relate solutions to details we keep on employees, equipment, etc. We can maintain business descriptors for attributes of results and solutions such as product group, customer segment, market, etc to summarize business information. We then have our business organized and ready to be managed effectively with an integrated Business Information Base. We can then do away with all the irrelevant enterprise information maintained and reported today.
A business management system can generate transactions every time a volume of business results are produced
What if we define the set of performance solutions used together as a performance module, with rules for charging costs to results and determining capital worth? Then management can assign new results to produced by the module with a customer-defined value, goals by time period, quality determinates, special instructions, etc. Transactions are generated for a number of full or partial results produced to record result progress or results completed. The system manages result cost, result value-added, progress against goals, quality, value created by module, capital worth, etc. All involved know result plans and status. Solutions are redeployed to produce new results and completed results are deactivated with a click. Data on the actual business, not captured and reported today, builds one consistent and comprehensive Business Information Base.
First Business Management Systems can use a general ledger or information management and reporting systems
This all can be done today, using Result-performance Management (R-pM) knowledge and procedures. Small businesses and business planning can start off with a spreadsheet to organize results, capital, and performance. General ledger systems can be used to maintain result-capital solution financial and statistical accounts and relationships. Or a flexible information management system can be used to manage result and capital solution records.
Result-performance Management (R-pM) provides the knowledge for actual business management
Result-performance Management (R-pM) is the only source of knowledge and expertise on how to manage the actual business. Forward-looking enterprises are now using R-pM guidance to organize and manage their business to gain breakthrough advantages over competitors burdened by unsolvable 20th century management problems. Business management is explained and documented in the Business Management Toolkit. The Toolkit provides procedures for actual business management and maintains emerging 21st century management conventions, definitions, and standards. Management consultants who base 21st century business management services on R-pM knowledge are licensed to help enterprises learn, organize, and manage the actual business. R-pM and business management are supported at result-performance-management.com.
The Solution to the Economic Crisis is explained in free downloads
Three free white papers explain the dead-end 20th century management problems, such as the failure to plan, account for, and manage the actual business, that caused the economic crisis, the way to eliminate the problems, and a government program to address the crisis by stimulating the economy, solving the problems, building a structure for financial and economic management, and organizing local businesses to flourish in the eventual recovery.
- How to Eliminate Problems that caused the Economic Crisis explains the major unsolvable 20th century management problems and the solution to eliminate the problems
- Business management; the only Solution to the Economic Crisis explains how to plan and manage the business to capture business data and provide management the information needed for actual business, corporation, industry, and economic management
- A Government Business Management Program to Answer the Economic Crisis outlines a government program to encourage business management, stimulate the economy, restore confidence, organize businesses to flourish in the recovery, and manage economic cycles to prevent future crisis
These three white paper downloads are available to R-pM Community Members at result-performance-management.com. There is no cost or obligation to join the R-pM Community. Join by entering your email address and personal password. Your email address is protected and used only for download problems, product updates, and occasional R-pM Member news and white papers.
