Today, we organize and manage the enterprise not the business

An organized business reorganizes with each business change. There is never a need for an organization study. The generally-accepted definition of the enterprise business is the activity of providing goods and services.

20^th century methods of business organization and management do not organize and manage the activity of providing goods and services. An enterprise organization structure is laid over the business, immediately creating the unsolvable re-organization problem.

20^th century enterprise management used today is a dead-end

Since the business is not organized, the business cannot be managed. Additional enterprise management structures are contrived for the strategy, plans, business processes, accounts, systems, development, reporting, etc. The many structures create business complexity, and each structure defines the enterprise through its own entities, creating enormous information complexity.

There are unlimited ways to contrive enterprise organization and management structures. The overlaid structures conflict with the actual business creating the unsolvable 20^th century business organization and management problems.

A new breakthrough to organize and manage the actual business for the 21^st century

Now we have a new breakthrough to eliminate 20^th century problems by actually organizing the business and using the business itself as one integrated structure for 21^st century management. The knowledge and procedures to organize and manage the business is provided by Result-performance Management (R-pM). All business organization, planning, direction, control, reporting, and governance use only the current and strategic business structures. Structures laid over the business, conflicts with the business, and unsolvable problems are eliminated. [more...]

You manage your personal business to utilize your capital in performance to produce value in results

You use natural common-sense business management for your personal business. You do not lay structures over your business. You utilize your time, capability, and possessions as capital solutions in your performance to produce personal results, such as item purchased, enjoyed night out, or exercised and fit body. The value of the result must exceed the cost incurred in performance to be happy with the result. Your performance uncertainty risks poor or delayed results. Your input result quality and performance effectiveness determine output result quality, such as a repaired household item. You do not follow processes; you produce results, as needed, or along a chain to a final result.

But, when you get to work you must follow enterprise processes and procedures

When you get to work you are unable to apply your natural business management. The enterprise you work for has never defined or organized the business. Results produced across the business have never been identified as a set to be managed. Capital investments in the business have never been identified as specific capital solutions that can be utilized in performance to produce results. Therefore, you must follow the processes, procedures, and systems laid over the business to produce selected output results. You are unable to manage the common attributes of capital, performance, and results that produce actual business data or to obtain actual business management information that is needed to manage the business. [more...]

Obsolete 20^th century enterprise management, used today, causes many unsolvable problems like unknown costs, unknown value creation, unknown capital worth, and unknown investment returns. The costly problems that hamper enterprise performance are left behind easily by using Result-performance Management (R-pM) knowledge and procedures for 21^st century business management. Any responsibly-managed enterprise must investigate totally new methods to organize the business into one business structure for integrated 21^st century business management and significant competitive advantage.

Follow the ten rules for 21^st century business management

Ten rules are provided as a guide to organize and manage results, capital solutions, and performance as one integrated business structure to ensure effective 21^st century business management. Each rule provides new approaches and advantages never possible before with 20^th century enterprise management. These ten rules are explained in the following articles. Details and procedures and are contained in the Business Management Toolkit. Download the Business Management Toolkit at result-performance-management.com and then organize your business to follow the ten rules for 21^st century business management.. [more...]

Rule No. 1 of the 10 rules of 21^st century business management: Organize and manage the business

The conventional definition of the enterprise business is the activity of providing goods and services. The 20^th century enterprise has never organized or managed the activity of providing goods and services, but, instead, lays rigid enterprise organization and management structures over the business. Business change conflicts with the rigid structures, creating unsolvable problems that can only be eliminated by organizing the business for 21^st century business management.

Eliminate unsolvable problems by organizing and managing one integrated business structure

The business must be organized as one structure to integrate enterprise business organization and management. Business activity is organized as capital solutions utilized in performance. Goods and services are organized as the results produced by business activity. Business results and capital solutions are organized together into a business structure. The business is organized by deploying specific capital solutions to performance domains to utilize in performance to produce specific results. The one integrated business structure is utilized for all 21^st century management planning, directing, control, and reporting to leave 20^th century organization and management problems behind. [more...]

Corporations today are not able to manage their businesses as part of a corporation business

All business managers are familiar with such 20^th century management problems as unknown costs, unknown value and quality chains, unknown investment costs, unknown return on investments in specific capital items, unknown capital worth (asset value), intangible assets, inaccurate and missing management information, and on an on. These unsolvable problems are symptoms of the one fundamental corporate management problem the failure to manage the corporate business. Corporations today lay organization and management structures over the businesses at headquarters, division, subsidiary, and other levels that prevent management of corporate businesses. The various corporate businesses cannot be consolidated into one corporation business.

Business management at all levels is the only solution for effective corporation business management

Business management is the only method available to consolidate and manage the corporation business. Each part of the corporation must be organized and managed as a business. Businesses at a lower-level add into the businesses at a higher-level until the corporation is managed as one business with one complete, accurate, and transparent business structure. All 20^th century management structures laid over corporate businesses at all levels and the related unsolvable problems are left behind. [more...]

Business change and change management are major problems faced by enterprises today

Business change today involves major projects to lay new organization, process, account, performance management, or other structures over the business. Business change today is change to structures laid over the business, but does not change the actual business, which lies hidden under overlaid structures. Business change involves significant investment and often requires management consultants and change management services.

Business change problems are eliminated by organizing and managing the actual business

The business must be organized and managed in order for the business to be changed. The business consists of capital investments in the business organized as specific capital solutions, economic outputs produced by the business organized as specific results, and business performance in the utilization of a specific capital solution in a performance domain to produce a specific result. Capital solutions, results, and performance domains are organized as data sets to manage the attributes, determinates, and measures of each. All business decisions and business changes involve results to add, improve, or close in order to improve the business; and capital solutions to acquire, develop, implement, improve, or close in order to produce results.

Business change is routine with 21^st century business management

The actual business organizes results, capital solutions, and performance domains in the current in-operation and strategic business structures. Business change is routine to add, improve, or close results by implementing, improving, or redeploying the capital solutions that produce the result. Business change for improvement involves planning new results needed and the capital solutions that must be acquired and developed and implemented to produce the result. Business change is a routine part of 21^st century business management. 20^th century business change and change management problems are left behind. [more...]

20^th century enterprise management manages the enterprise, not the business

20^th century management used today manages the enterprise by laying organization and management structures over the business. We are familiar with the organization structure that requires periodic reorganization, and management structures in the corporate plans, business processes, information systems, account charts, and reporting structures used every day. These structures record a multitude of data entities and can report mountains of information, but do not record actual business data or report actual business management information.

21^st century business management manages the business to manage the enterprise

21^st century business management organizes and manages the enterprise business as one integrated business structure. The enterprise is managed by managing the business of the enterprise. Business is “investments in capital as solutions of worth utilized for costs and effectiveness of performance to produce value and quality in results”. 21^st century management manages the three entities that comprise the business: capital investments in the business, business performance in the utilization of the capital, and business results produced by performance. All business data is captured in one structure and one consistent, complete, and accurate set of business management information is reported.

There is only one source of knowledge for 21^st century business management

Result-performance Management (R-pM) provides the concepts and procedures for 21^st century business organization and management. The knowledge to manage any business is provided in the Business Management Toolkit. The toolkit is continually updated and expanded to guide 21^st century business management. [more...]

The organization structure is the "fatal error" of 20^th century enterprise management

Once an enterprise organization structure is laid over the business, the business can never be managed. Consistent, comprehensive, and accurate business data can never be captured and reliable business management information can never be reported to management. The enterprise must be managed by laying business process, corporate plan, account chart, performance management, cost activity, quality assurance, data reconciliation, and other structures over the business. Data is gathered against arbitrarily defined overlaid structures, rather than the business, providing management with an overload of inconsistent, inaccurate, and very incomplete information.

Organize the business as one management and reporting structure

The business consists of three components: 1) results needed for success, 2) investments in capital solutions to produce results, and 3) the performance of each capital solution to produce each result. These three components are organized in the business structure for use in all business planning, direction, control, reporting, and governance. Actual business data is captured when capital solutions of worth and qualifications are utilized in cost-effective performance to produce value and quality in a result. The structures laid over the business are no longer needed. Management has one set of consistent, complete, and accurate information to manage the actual business. [more...]

There is but one natural way to organize and manage a business

You use the one natural way to organize your personal business. You produce results in the things you accomplish. To produce results, you acquire and maintain capital as solutions in your capability, time, tools, equipment, money, plans, instructions, etc. You utilize the capital solutions in your performance to produce a result of value, such as a prepared meal, arrived at a destination, a good time, etc. You manage your business through common sense. You do this instinctively because it is the only way to organize and manage your personal business or any other business.

Your company organizes and manages the company, rather than the business

But on your job, you no longer naturally utilize capital solutions to produce results. Your company does not organize or manage the business. The company lays contrived structures over the business to manage the company. All business schools, management books, packaged solutions, consulting advice, professional bodies, and on-the-job experience teach us to lay contrived structures over the business. You cannot manage or perform using common sense. You must follow various rules, regulations, and procedures to utilize arbitrary processes, systems, accounting, and other structures.

Use your natural method to organize your company business

Result-performance Management (R-pM) defines the natural way you organize your personal business. R-pM enables you to use your natural method of utilizing specific solutions in performance to produce specific business results. You will see improvement in the job you do today, and understand the potential to organize your company business for the breakthrough advantages of 21^st century business management. [more...]

20^th century enterprise management we use today presents many unsolvable problems

21^st Century Management Magazine has produced many articles describing the 20^th century enterprise management with the unsolvable problems all business enterprises suffer from today. The enterprise is organized and managed instead of the business. Enterprise organization and management structures conflict with the business, so that all enterprises confront reorganizations, unknown costs, unknown value creation, unmanaged value chains, investments not required by the business, intangible assets, change management, corporate governance, inaccurate accounting and management information, excessive IT overheads, and other continuing problems that can never be solved by managing the enterprise.

21^st century business management manages the business directly

21^st century business management manages the business as one structure for all organization, planning, direction, control, reporting, and governance. The 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 is organized as all capital invested in the business as specific solutions, economic output results required for business success, and the performance of the business in utilization of capital solutions to produce specific results. 21^st century business management provides the structures, principles, and rules to guide actual business management and eliminate the problems of 20^th century enterprise management. [more...]