Corporations do not manage the businesses within the corporation today
Corporations state that losses and failures in the economic recession are due to problems managing their many diverse enterprises scattered around the world. Corporations define their enterprises as departments, divisions, business units, joint ventures, subsidiary companies, projects, programs, and various other structures. Each enterprise is organized through an arbitrarily-defined organization structure that is laid over the business. There may be a corporate organization structure to relate the various enterprise organizations, but it is not related to the corporate business or used for corporate business management. Different management structures are laid over each enterprise business for planning, direction, control, reporting, and governance. The different management structures cannot be consolidated in an enterprise business, and the various enterprises can not be consolidated into the corporation business. Consolidation is through 20th century reports and financial statements that consolidate arbitrary structures and accounts and not the corporation business.
Every venture, subsidiary, project or other enterprise within a corporation must be managed as a business
The business is defined as “investments in capital as solutions of worth utilized for cost and effectiveness of performance to produce value and quality in results”. Business management organizes and manages every enterprise with authority to invest in, develop, and utilize certain capital to produce certain results within the corporation as a business. Businesses at the division or subsidiary level add into the businesses at higher corporate levels, until the corporation is managed as one business with one complete, accurate, and transparent business structure. All 20th century management structures laid over all corporation businesses and related unsolvable problems are eliminated.
All corporation planning, operations, development, and management focus on results to reach result goals by period, leading to planned strategic result value. Each enterprise business has a current and strategic business structure that can be summarized into any corporate business area, sector, division, industry, or other corporate business descriptor, as well as summarized into one consistent corporate structure.
The corporation business must be the consolidation of all corporate businesses
The total business for any corporation is the sum of businesses in the various enterprises in the corporation. All subsidiaries, divisions, ventures, headquarters operation, or other business entities in the corporation have enterprise business structures that are summarized into the corporation business structure for a complete and accurate view of the corporation business for all reported capital measures, performance indicators, and result metrics. All projects, programs, campaigns or other business endeavors within a business enterprise are organized as a result in the enterprise business structure and supported by subordinate business structures.
Corporations have many units and subsidiaries that are individual businesses. Each unit is managed as a transparent business structure. Businesses are planned as strategic business structures that are integrated and rationalized in the strategic corporation business structure. Business operations are consolidated into the overall corporation business to manage the corporation against plans and goals at all levels. Different industries, regions, or sectors are managed as the consolidation of those businesses involved. The complete corporation is consolidated seamlessly and problems in any part of the corporation can be identified and managed, as in an individual enterprise business.
The complete corporation business must be planned and reported at all levels so that problems at any level can be identified and solved
Corporate planning is integrated in the strategic business structures with result plans and goals, capital development plans, result value and solution cost budgets, and other plans for each enterprise business. Enterprise business plans are consolidated in the corporate strategic business structure and plans. Planning is rationalized up and down the businesses to refine an approved corporate strategic business structure. Corporate business reporting is against strategic corporate structures and time period plans. Any result symptoms, performance problems, or capital causes appearing at any corporate level can be identified and traced down to the specific enterprise business to implement a new or improved capital solution. The complete business is simplified, consistent, and transparent at all levels. Current and strategic businesses are managed and updated continuously. Information technology, now used to process structures laid over the business, focuses on each enterprise business as capital solutions are utilized to produce results around the world.
Corporations are managed consistently as a business and enterprise businesses within the corporation business. Results planned and produced by all enterprise businesses are part of the corporate result structure. Capital solutions developed and utilized at all levels are part of the corporate capital structure. Business data on the utilization of capital solutions in performance to produce result value in any enterprise is part of the corporate performance structure. All corporation business information can be accessed transparently from the corporate or other level no matter where the physical information may reside in the corporation. The obstacles to management of each enterprise business, collaboration between enterprise businesses, and consolidation of enterprise businesses are removed. The corporation is organized, planned, directed, controlled, and governed as an integrated business, and no longer separately-defined divisions, business units, subsidiaries, or ventures.
Result-performance Management (R-pM) provides the knowledge and procedures for actual business management and reporting
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. Business management knowledge and the Business Management Toolkit are available and supported today 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.
