Logo: Feedburner Escape the Straight Jacket of 20th Century Management

By: Harry Greene

20th century management evolved over the past 100 years in the USA and Europe and has become the dominate business management method around the world. A gigantic business machine supports 20th century management. All business schools, management books and training, management consulting services, enterprise information systems, and packaged management solutions are based on and support 20th century management.

20th century management does not provide a business foundation and creates many unsolvable problems, but is accepted as the way that things have always been done.

20th century management is based on flawed fundamentals and definitions that have become generally-accepted

20th century management evolved years ago to manage a business before information technology existed, and when the main business concern was cash control. 20th century management is based on many premises that are no longer valid, such as:

  • The objective to organize the business enterprise, rather than the enterprise business. The fatal error of 20th century management is the arbitrary enterprise organization structure, which is laid over the business and prevents business management
  • The objective to manage the business enterprise, rather than the enterprise business. The business cannot be managed so additional enterprise management structures are contrived and laid over the business for strategy, processes, systems, accounts, administration, performance management, etc. This prevents accurate business data capture, recording, and reporting
  • The focus on performance. 20th century management defines performance to include not only the actions of performance but also the results of performance. This definition prevents management of business costs in capital consumed and separate management of the business value created in economic output results
  • The focus on money and cash control. Cash and financial assets used to be the most important assets to control, but now are controlled by banks and automation. Other tangible and intangible assets are of increasing importance, but have never been managed in 20th century management
  • Poor use of information technology. When IT evolved, no one considered how to utilize IT properly for integrated business organization and management. Instead, separately-defined 20th century structures were converted to the computer to produce conflicting information systems and information complexity

All businesses suffer because 20th century management does not provide a solid business foundation, has many flawed definitions and practices, creates high costs and waste, and condemns all who use it to unsolvable problems.

Many companies know the problems of 20th century management, but do not know the alternative

Many companies around the world understand this and wonder how they were caught in the straight jacket of 20th century management. Companies are forced to adopt unsound practices, implement expensive monolithic business processes and information systems, and to manage and report structures laid over the business that they do not understand. Companies are unable to collect business data, keep accurate financial and non-financial records, and access information to manage the business.

Many companies would like to escape but do not have an alternative. Socially-responsible companies want to reduce waste, conserve energy, and provide an innovative business environment. They see a need for fundamentally-sound, internationally-accepted method for simple and direct business management that any business can learn and use and that enables collaboration and low-cost common solutions.

Result-performance Management (R-pM) provides the alternative to organize the business for 21st century management

R-pM is a new breakthrough to one fundamentally-sound international method that any enterprise can use to organize the business for 21st Century Management and leave unsolvable of 20th century management problems behind.

R-pM builds the foundation of an organized and managed business. Every business in the world utilizes capital in performance solutions to produce economic output production in results. R-pM organizes and manages the specific performance solutions utilized to produce specific business results. Performance solutions embody the capacity, costs, and effectiveness of the capital utilized. Results embody the volume, value, and quality of output production from the business.

R-pM simplifies business organization and management to one business structure that manages performance solutions utilized and results produced. Business results form natural value-quality chains. Performance solutions are designed and managed result by result for simplified and flexible processing. Actual business data is captured, accurate business records are maintained, and directly-applicable information is provided to manage the utilization of capital in performance to produce value in results.

The R-pM Toolkit provides the key to move to 21st Century Management

The R-pM Toolkit, your 21st Century Management Manual, provides the concepts, procedures, and examples to escape the costs and problems of 20th century management and organize the business for 21st Century Management. The R-pM Toolkit is available today at result-performance-management.com.

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