Enterprises today have many problems with information management

Enterprises implement information systems to manage the enterprise, not the business. The many enterprise structures laid over the business require a massive workload in data collection and information processing, and produce a wide range of information concerning various enterprise entities, much of it conflicting and inaccurate. This produces enormous information complexity and excessive IT resources. Enterprises must make additional investments in hardware, information management systems, and IT architectures to attempt to manage the complexity. All the information gathered and reported describes the enterprise. No enterprise today captures actual business data.

Business management captures actual business data and reports information for utilization by the business

21^st century business management organizes information as capital for support and utilization. Actual business data is captured and managed as sets to know value, all costs, capital worth, investment returns, etc. All information is related to the business for utilization to produce results and for control of business information. Enterprise information not related to the business is no longer processed or maintained. All emails, Internet searches and downloads, file transmissions, etc in or out of the business relate to a specific business data entity.

All information is managed as one consistent Business Information Base

All information used by the business is referenced to one of six data sets that control common attributes and subsidiary data entities. The information is organized into one consistent, complete, and accurate Business Information Base. Information systems are reduced to direct system solutions to produce specific results. Large IT resources for enterprise information systems, data reconciliation, enterprise information management, portfolio and hardware management, and special information management systems are no longer needed. [more...]

Today it is not possible to manage businesses as part of a corporation, industry, or economy

Companies and corporations today are arbitrarily organized and managed through structures laid over the business. The business is not organized, actual business data is never captured, and real business management information is never generated, recorded, or consolidated to describe the actual company, corporation, industry, or economy in real business terms.

Businesses must be organized as business structures that build up to multiple-business corporations, industries, and economies

Businesses must be organized instead of companies or corporations. The business organization structure must define economic output results produced in chains of results across the complete business, all investments made in the business as specific human and other capital solutions implemented to produce specific business results, and the utilization of each solution to incur the costs and to create the value in each business result. The consistently-defined organized businesses can then be consolidated into the complete economic output results produced by a corporation, industry, or economy. All capital investments are managed to know and consolidate the return in result value-added to date and the capital worth (asset value) in the projected continuing future result value-added. The utilization of all capital solutions in performance to produce results are managed to know and consolidate all result volumes produced, performance costs, result value created, result value-added over performance costs, performance effectiveness, and much more vital and accurate business management information.

21^st century business management provides the structure required to manage each business and consolidate multiple businesses

21^st century business management structures each enterprise business to manage all capital investments, the performance of each investment in the business, and the economic output results produced from the utilization of specific capital investments. Enterprise businesses are consistently consolidated to the corporation business to record and manage all businesses within the corporation. Consolidation is possible for all the businesses in an industry, market, economy, or other business indicator against which enterprise business data is collected. [more...]

Performance management today mixes capital utilized, performance, and results accomplished together

Performance management is a popular form of 20^th century enterprise management. But performance management mixes the capital utilized, the performance in the utilization of capital, and the results produced together. This prevents real business management to manage the utilization of specific measured capital solutions, in measured specific actions of performance, to produce specific measured results. Performance indicators do not distinguish capital solutions, solution performance, and results produced.

R-pM separates capital solutions, performance, and results to manage the business

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”. In order to manage the business, capital solutions, solution performance, and results produced must be managed as separate components of the business. Capital solutions are qualified to produce specific results before being acquired and implemented. Capital solutions are planned with the potential to produce results and measured through capital measures. Performance is the utilization of a specific solution to produce a result. Performance is planned through a level of expectation and measured through performance indicators. Results are planned to produce a volume or count of results of value through result goals and measured through result metrics. This enables all components of the business to be measured and managed as separate entities in business performance in order to manage the actual business. [more...]

Information systems today report massive amounts of information, but no information on the actual business

Information complexity is a common outgrowth of contrived organization and management structures laid over the business. The organization structure creates entities for unit, position, job, function, manager, etc. Management structures create entities for objective, process, center, account, group, activity, responsibility, object, station, and on and on. Each generally-accepted structure uses different entities and different names and definitions for the same entity, preventing information integration and reconciliation. Although much work and many information systems are involved, no actual business data is captured and no actual business management information is reported for management use.

R-pM manages one set of consistent, complete, and accurate business management information

Result-performance Management (R-pM) utilizes modern information technology to organize the business for 21^st century management. R-pM stresses information quality to report one consistent set of information to manage the actual business. R-pM eliminates information complexity by organizing and managing the business through six information sets to define precise capital solutions utilized by the business, business performance, business results, business interactions, and business change over time. [more...]

The economic crisis is caused by the failure to manage the business and results as part of the business

The business is “investments in capital as solutions of worth utilized for costs and effectiveness of performance to produce value and quality in results”. In order to manage the business, three components of the business must be managed; the capital investments in the business as capital solutions of worth, performance of the business in utilization of specific capital solutions to incur costs and produce specific results, and output results of managed value and quality produced across the business.

20^th century management utilized by all corporations, financial institutions, and other enterprises today do not identify or manage specific capital solution investments as a complete data set and do not identify or manage specific output results produced as another data set. Financial institutions are not able to manage "asset value" in the worth of solutions in their investment portfolios. Corporations are not able to manage diverse businesses within the corporation as part of an integrated and managed corporate business. These are examples of causes cited for business failures and downturns that caused the economic crisis.

Result-performance Management organizes and manages the actual business and results as part of the business

R-pM organizes and manages one integrated enterprise business structure. The business structure is comprised of the result structure to organize and relate results required for business success, the capital structure to organize capital solutions available, and the performance structure to implement the capital that is utilized to produce specific results.

The key component of the business structure is the result structure that organizes economic outputs to be managed for the volume, value, and quality that lead to revenue, profit, and stakeholder value results. All enterprise management responsibilities are to produce specific results. Strategies are organized by the strategic results to produce in the strategic result structure. A well-managed enterprise business must manage the value and quality of all results produced by the utilization of specifically-qualified and cost-effective capital solutions. [more...]

The economic crisis shows the problems with 20^th century Business Process Management

Financial institutions and other corporations state that they have problems due the the failure to manage asset value, full operating costs, and the margins in outputs produced. This is part of the basic problem causing the economic crisis, failure to manage the business. One of the major features of 20^th century management, Business Process Management, prevents management of the business. Corporations must manage processes and cannot manage specific capital investments, output results produced, and the performance of capital solutions utilized to produce a result.

Business processes must be replaced by result chains to manage costs, value, and quality

Rule 2 for 21^st Century Management is to: Generate revenues from a chain of known value. The rule says to define the results produced and manage each result in the result value-quality chain; starting from input results from the supplier, proceeding through result value added along the corporate chain, and ending at the final result to the customer. Business processes used today do not allow this. The corporation must redefine business processes by identifying the results produced and the capital solutions utilized within the process to isolate the most cost-effective performance to produce the highest value-quality result. Results must be managed result by result within a set to produce the input result to the customer value-quality chain.

R-pM manages result value-quality chains as part of the managed business

Result-performance Management is the only method to manage the corporate business and result value-quality chains to know full costs to produce a result, the value of the result, the value-added by performance as well as capital solution qualifications, performance effectiveness, and the quality result by result in the chain. R-pM ensures that customers receive managed value and quality in goods and services from the corporation. [more...]

The financial crisis is caused by business performance problems

Business performance used by financial institutions, corporations, and other enterprises today is a problem. Business performance is defined to include both the performance of the business in the utilization of capital and the output results produced by the business. Capital utilized in performance and results produced are mixed together in business processes, performance management, key performance indicators (KPI), and other business performance structures laid over the business. Business performance improvement stresses performance, performance quality, and the flow of performance without managing improvement to business results produced by the performance or the investment in capital solutions utilized by the business to manage investment returns and capital worth (also called asset value).

Business performance management prevents actual business management

Structures laid over the business hide actual business capital solutions, actual business performance, and actual business results produced. The business changes with each change to a result produced or new investments in capital solutions utilized. Business change cannot be managed and conflicts with overlaid structures causing unsolvable 20^th century management and performance problems.

R-pM converts performance management to Result-performance Management

Result-performance Management (R-pM) organizes the actual business through organized and managed capital solutions utilized in performance to produce specific results in a business structure. The one integrated business structure is used to manage the business for each part of the enterprise. The organized businesses within a larger enterprise add up the enterprise business structure. R-pM manages each business in the enterprise and the complete enterprise business to eliminate performance problems through 21^st century management. [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...]

The current financial crisis shows the need for actual best business management practices

After every corporate financial, management, or governance crisis or scandal the call arises for best business management practices. However, nobody knows what real best business management practices are, since no one has any experience in actually organizing and managing a business. The practices installed are never actual best business management practices, but are a collections of rules and regulations or methods to better manage structures that hide the business and prevent actual business management.

20^th century best practices are the best of bad business practices

20^th century best business practices are a collection of organization, process, system, and administration structures laid over the business for a particular purpose, which have proven effective elsewhere. All 20^th century best business practices are bad business practices, because they add to enterprise overheads and costs, and do not help the enterprise to operate or manage the actual business.

R-pM provides the business definitions and structure for good best practices

Result-performance Management (R-pM) instills best practices across the business for 21^st Century Management. R-pM manages the business by managing the capacity, investment, qualifications, reliability, return, and worth of capital solutions; utilization, cost, effectiveness, uncertainty, and value-added of each capital solution in guided performance; and the volume, total cost, quality, risk, value, and value-added of each result produced. The set of solutions deployed and utilized to produce a result is defined as a capital module. The capital module that produces the best value-quality result can be defined as a best practice. All best practices are then built into the business structure to operate and manage the actual business.

The only way to prevent future corporate financial, management, and governance problems is to use R-pM to organize and manage the businesses. Governments that want to improve local business competitiveness significantly and prevent future crises, must investigate R-pM. [more...]

There is no framework today to guide the development, implementation, and utilization of packaged solutions

Packaged solution providers have never had a consistent framework to design solutions that any enterprise business can employ. This has required that packaged solutions be very problem, function, or industry specific.

The only valid framework for packaged business and management solutions is the business itself

The framework needed to develop consistently-defined capital solutions exists, but it has never been used. That framework is the business.

R-pM organizes the three components that define the enterprise business in results required, capital solutions invested in the business, and the performance of specific solutions that produce specific results. Packaged solutions fit into the business organization and are utilized as part of the business to incur costs and create value in specific results.

R-pM provides consistent support for solution developers, implementation consultants, and solution users

The R-pM Toolkit provides the needed guidance for both the packaged solution developer and the solution user to ensure that solutions seamlessly fit into the enterprise business structure and can be utilized to produce the intended results.The Toolkit includes 21^st Century Management conventions, definitions, and standards that are followed so that any business reduce costs and improve the value and quality of results by using common packaged solutions and services. [more...]