Manage Business Change Benefits With R-pM

The Business Change Forum lists Change Management as one of the top 10 management problems of the 20^th century. The problem is caused by the failure to define, organize, and manage the business. Only two entities define the business and, therefore, only two entities change in business change.

• Results: The business outputs produced from business performance
• Performance Solutions: The specific capital developed, and utilized in performance to produce results

Result-performance Management (R-pM) is an exciting breakthrough that organizes and manages the business results and performance for 21^st Century Management. Review the worldwide R-pM Community download “How to Manage Business Change” to take the mystery out of business change.

Change Management is one of the Top 10 Management Problems

The common definition of the enterprise business is “the activity of providing goods and services”. Business change is then change to two entities:

• the activity, which is business performance
• the goods and services provided, which are business results

Instead of planning and organizing our business change as a change to results and performance, we define processes to be re-engineered, information systems or other solutions to be implemented, organization structures and positions to change, etc. 20th century business change is not change to the business, but change to structures overlaid on the business.

Change Management uses the flawed 20^th century definition of performance

We may look at business change as performance or productivity improvement. Here, we manage conventional 20^th century performance that defines both the result produced and the performance producing the result as components of performance. Results and performance are mixed together in key performance indicators, implementation objectives, and the solutions used. The fact of life is that we cannot directly manage business change, if we do not separate and manage the only two things that change; results and performance solutions.

Most enterprises approach Business Change Management in the wrong way

We then make fundamental mistakes in the way we organize for business change. What approach does your enterprise take, when faced the need for business change?

1. Set up an in-house project team and let them figure out how to effect the change internally?
2. Call in consultants and turn the problem over to them?
3. Take management charge to define and plan precisely the change needed and the benefits of change, employ consultants as a resource as needed, manage the project for successful change, and measure and confirm the planned return an investment in change?

Most enterprises employ a combination of the first two approaches. If your enterprise takes the third approach, let me know how you did it. I am still looking for a 20^th century enterprise that organized and managed business change properly.

Business change is often left up to administrators and consultants

Top management rarely understands business change and, usually, leaves it up to an administration manager. If consultants are employed, they can help through their experience and analytical capabilities, but their methodologies only ensure that the project is completed, not that the business change is successful.

Result-performance Management (R-pM) eliminates the business change problem

Result-performance Management (R-pM) provides the foundation for business change and one integrated method to organize and manage business change.
R-pM defines, organizes, and manages results and performance so that the enterprise can plan, change, and measure the only two things that directly change.

• Results: To plan the value-added needed for improved business results, to accept goals for producing the value-added, and to measure the actual value-added return an investment
• Performance Solutions: To plan the specific items of capital of all types needed to successfully produce the results, to manage the cost of investment, and to manage subsequent solution utilization

Two sets of results and performance are defined for business change 1) the enterprise results and performance to change and 2) the program results to be produced and performance solutions to be utilized in the change program.

R-pM manages three result groups for specific business change

R-pM manages three groups of results that have important roles in business change:

1. Revenue Results: Produced by line users to reach objectives
2. Capital Results: Produced by capital and performance solution management
3. Investment Results: Produced to manage all change and investments

The program results are a set of results under the enterprise investment management result “Completed Business Change Program”. All new enterprise results and performance solutions to be developed are defined as results in the program. With R-pM, capital development is a part of investment result operation.

R-pM manages business change in three dimensions

R-pM then manages the enterprise in three dimensions to provide the management for business change

1. Result: To manage the value created from business change and to manage internal project results
2. Performance: To manage the development of capital from the business change, and to manage the solutions utilized within the project to produce change
3. Management: To manage program planning, execution, utilization in operations over time to keep on schedule and gain the return on investment

Management is provided for the results and performance solutions to be changed and those within the change program.

R-pM establishes on-going capital development and business change responsibilities

All result and performance managers have interrelated operation and development responsibilities. R-pM organizes business change programs under the top executive over the result areas being developed. R-pM does not utilize steering committees that tend to dissipate responsibility. R-pM concentrates responsibility within a Result-performance Development Panel which includes those participants with direct responsibility:

• Result Managers: Managers with the highest level result responsibility for results under change to meet future goals
• Performance Managers: Managers that consolidate the overall performance responsibility for the solutions being developed to meet future expectations
• Program Manager: An investment result manager responsible for the change program to utilize program solutions to produce program results
• Partnership Manager: Solution vendors or R-pM consultants that may be employed to provide the services in the partnership agreement to produce measured enterprise result value-added

All panel participants must perform to produce program results.

R-pM develops results for benefits and performance for the investment cost

R-pM organizes two in-house change program teams for development, implementation, and utilization:

1. Result Teams: One or more teams to plan change to results, assist solution development, test and accept change, and utilize change to achieve new goals that provide measured return
2. Performance Teams: One or more teams organized to plan, acquire, develop, implement, and follow-up specific solutions needed for the change

R-pM achieves business change through result-performance development. Result development develops results to utilize performance solutions for value-added benefit. Performance development manages the investment costs in developing and implementing performance solutions that are utilized to produce results.

R-pM consultants assist achievement of planned and measured benefit

R-pM consultants may be retained to assist the change in partnership with the enterprise. R-pM consultants are never responsible for program management or the results of the program. They are responsible to assist the enterprise execute the program effectively with the objective of producing planned and measured result value-added benefit.

R-pM is a proven method for beneficial business change management

R-pM was initially developed and proven as a method for executing business change. Avoid the problems and money lost in conventional business change. Before embarking on any business change project, it is essential to join the R-pM Community to download “How to Manage Business Change with R-pM” and learn how to do it right. Use R-pM to organize your business for 21^st Century Management, and to leave 20^th century change management problems behind.

Visit Result-performance-Management.com to learn more about organizing your business with R-pM for 21^st Century Management, and the R-pM Toolkit, your 21^st Century Management Manual.