20^th century enterprise management administers human resources as employees

20^th century enterprise management administers human resources and is unable to manage human capital as capital utilized by the business. The business is not organized to produce specific economic output results and human capital is not organized as capital solutions, within the full set of capital solutions utilized to produce the results. Human capital management addresses general human resource development, rather than specific development to add value to the business and increase human capital worth.

Rule No. 8 of 21^st century business management: Manage human personnel, capability, and knowledge capital to increase human worth

Human capital must be managed as readiness capital to keep personnel ready to produce results, production capital to provide the capabilities to produce specific results, and information capital to provide the knowledge required to produce high value-quality results. The objective of human capital management must be to increase human capital worth by producing results of higher value to the business.

The enterprise must organize the business to utilize human capital to produce business results

To follow Rule No. 8, the enterprise must organize the business to invest in and utilize human and other capital as specific solutions in performance to produce high value and high quality results. Human capital is maintained to be ready to produce results. Human capital is developed as capability solutions to utilize specific business processes to produce specific results. Human personnel and capabilities also are supported with the knowledge needed utilize other capital solutions and to produce specific results. [more...]

Unsolvable problems have persisted throughout 20^th century management leading to the current crisis and recession

Throughout the 20^th century, we have had continual problems with re-organizations, business complexity, intangible assets, alignment, change management, unknown costs and value, unknown capital worth and returns, ill-informed corporate governance, and so on. These unsolvable problems are the underlying cause of the financial crisis and recession. Thousands of new methods have been contrived and books have been written to solve 20^th century problems once and for all. So, why do we still have the problems?

The top ten problems of 20^th century management arise from failure to organize and manage the business

We have only one fundamental problem in 20^th century management. The business has never been organized and managed. We organize people into an organization structure that is laid over the business. We then lay more management structures for strategy and planning, accounts, business processes, performance management, administration, etc over the business. The 20^th century change management approach is to improve the overlaid structures or to lay more structures over the business. The government response to business, financial, and economic problems is to impose more regulations and reporting on the business. No one addresses the well-known 20^th century management problems.

The unsolvable problems must be eliminated by organizing the business with R-pM for 21^st Century Management

The only solution is to eliminate unsolvable 20^th century management problems by organizing the actual business as one business structure through Result-performance Management (R-pM) for 21^st Century Management. R-pM organizes, plans, directs, controls, reports, and governs the business through the current business structure and result goals by time period leading to the approved strategic business structure. The business structure provides the architecture for organizing all businesses in an industry and all businesses in an area or sector of the economy; so the government can manage businesses in an industry, such as the financial industry, and businesses in an economy. [more...]

Re-organizations are unnecessary 20th century management problems

Re-organization, one of the top 10 problems of 20^th century management, occurs because we organize people and power, and not the business. If 20^th century business organization methods organized the business, the organization would change with business change.

The organization structure is the fatal error that prevents business organization and management

The organization structure is not a management prerogative or political football. The business organization is a business capital solution that provides the foundation for 21^st century management. Once an organization structure is laid over the business, the business cannot be organized or managed.

Use R-pM to organize the business for 21^st Century Management

Organize your business results, your capital investments in solutions, and utilization of solutions in performance to produce results. Then deploy human capital, where they are qualified to manage and produce results, for 21^st century management, and leave 20^th century re-organizations and other unsolvable problems behind. [more...]

R-pM organizes human capital as part of the business

Human capital can benefit from R-pM by understanding R-pM conceptually to increase personal productivity and worth to the 20^th century enterprise, by understanding themselves as human capital to know how to increase their capital worth, and by leveraging human capital capabilities in the organized and managed business with R-pM.

R-pM manages human capital worth against performance expectations and result value-added produced

The 20^th century enterprise organization structure places human capital into positions, jobs, functions, etc. Human capital justify their cost by the time spent in their place in the organization structure. R-pM replaces the enterprise organization structure with the business result-performance structure. R-pM provides a different perspective of human capital as specific human personnel, capability, or knowledge performance solutions deployed to meet performance expectations and produce specific results. R-pM assesses the worth of all capital on performance expectations met and the contribution to result value-added.

R-pM enables humans to improve capabilities, meet increased expectations, produce higher-value results, increase capital worth, and justify higher performance costs

R-pM benefits those who want to increase their reward by increasing result value produced to justify increase in human capital costs incurred by the enterprise. This is supported by Rule no. 8 of the 10 rules of 21^st century management; to manage human personnel, capability, and knowledge capital to increase human worth. R-pM provides one integrated organization and management structure so that humans understand the roles and responsibilities for results they produce, the other solutions they use, and the relationships to other enterprise results. Humans have opportunities and a framework to develop new capabilities and knowledge to produce higher-value results, meet increasing expectations, and increase human capital worth. For human personnel capital, human capital worth must justify human personnel costs and cost increases [more...]

Information is not managed as capital for support and utilization

Today’s enterprise captures information on a multitude of entities that describe structures laid over the business, but captures little information on the few entities that describe the actual business. The many enterprise information systems produce enormous amounts of information. However, little is managed as information capital to be used to operate, improve, and manage the business. Much information is managed by the wrong capabilities, such as management accounting and data management by IT. Most information just adds to the information complexity and overload problems.

The explosion in enterprise information demands new information simplification and management solutions

With emails, internet searches, file transfers, etc information is entering and leaving the enterprise at a high rate and enterprises have no way consolidate information or consistently reference information to the business. Additional structures are laid over the business to reconcile and classify information. Special information systems are needed to locate, extract, reconcile, and report information of use to management. Additional investments are being made in various document, record, report, content, etc management systems to manage information scattered around the enterprise.

This cannot solve the problem. The only way to solve the problem is the simplify and organize the business as a few specific data entities, and professionally manage all data, knowledge, records, and intelligence through reference to these few data entities.

R-pM organizes information capital for delivery and utilization by the business

Result-performance Management organizes the business to capture data and produce other information related directly to the business and to eliminate data collection and information reporting not related to the business. All information in, entering, or leaving the business is referenced to a result, performance solution, or other business entity. Management information is captured and reported on the business for decisions to add, change, or close output results or capital utilized as performance solutions

R-pM organizes information capital for professional support and development

Information capital requires specific capabilities to develop and maintain professionally. All information capital is categorized as business data, human knowledge, facility records, and management intelligence for professional maintenance of information and development of information solutions to produce business and management results [more...]

Human capital is integrated with the business through human capability capital, which is the capability rather than the human personnel solution that possesses the capability. Human capabilities are defined and designed into the business process to utilize and execute the process to produce the specific result. Capability specifications and utilization of the capability are described as human knowledge solutions to support human capability development and capability utilization.

Human capability is the performance solution that most determines result quality and value. 21^st Century human capital development plans and projects primarily are directed to human capability development needed by the business to produce higher-value results and to develop higher-worth human capital. [more...]

Human resource and capital management of today essentially administer human resources as employees and develops human capital to meet general performance needs. Human capabilities required by the business are not defined or managed as capital. Knowledge solutions to develop human capital or for human capital to utilize solutions to produce results are not defined or managed as capital.

R-pM develops all capital, including human capital, to produce specific result value-added. Human capital in personnel learning, specific human capability development, and knowledge development is managed to add value to specific business results. Management knows the personnel, capability, and knowledge solutions utilized to create result value and the value-added to results. Management can assess the worth of human capital and plan human capital development to meet needs to increase the value of specific results or to produce valuable new results. Human capital has a stake in the enterprise business and knows that increasing result value-added increases human capital worth and justifies increases in human capital performance costs. [more...]

Most companies still administer human resources as employees. They use organization structures, job descriptions, task plans, salary scales, rigid HR policies, performance management, and other measures that put human capital into boxes and manage the activities humans perform.

Result-performance Management manages human capital to produce results, to develop capabilities to produce higher-value results, to provide the specific knowledge needed to develop and produce results, to link the value added to results to the worth as human capital, and to compensate and reward relative the human capital worth. [more...]

The modern enterprise creates knowledge by subjects or topics that are important for the application of knowledge. Knowledge users access knowledge when they think they have a need. The objective is to make knowledge available.

R-pM creates and manages knowledge as human capital to develop and support human capabilities to utilize other performance solutions and to produce specific results. R-pM integrates knowledge with other information capital to be delivered where needed to utilize solutions and produce value in results. [more...]

As R-pM continues to supersede conventional 20^th century methods, there is growing demand for R-pM skills. R-pM creates new career opportunities for human capital within the enterprise and for management consultants, solution providers, and educators involved with business management.

Now is the time to get in on the ground floor and develop your human worth through new capabilities in R-pM. Support R-pM use in your enterprise and place yourself in a leadership role. Find the information and learning you need to prepare for 21^st century management at Result-performance-Management.com [more...]