Get your Business ready for 21^st Century Management

Business management is a breakthrough to manage the actual business

Now corporations and other enterprises are able to organize the actual enterprise business for 21^st century business management. Enterprise management structures laid over the business today that prevent business management are cleared away. One business structure manages the actual business as “investments in capital as solutions of worth utilized for costs and effectiveness of performance to produce value and quality in results”. Business management is the only solution that can eliminate the problems that caused the current and previous crises and economic recessions.

If you are not familiar with business management, you may want to visit result-performance-management.com or read other basic articles on business management concepts and then revisit this article.

Business management requires only that the enterprise organize and manage the business

Business management is not another business change or transformation methodology like Total Quality Management (TQM), Business Process Re-engineering (BPR), Enterprise Resource Planning (ERP), or other organization and management structures laid over the business.

Business management is the only way to organize and manage the actual business of your company, corporation, or other enterprise to be competitive in the 21^st century. Business management eliminates excess and low-value results, under-utilized capital solutions, ineffective and wasteful performance, and contrived overlays. Business management focuses on planning and producing high value-quality results across the complete business.

People, who do not understand business management, may think that there is a lot of extra work, because it requires the company to do many things that they do not do today. But they do not consider how business management eliminates the wasteful things the enterprise does today, focuses the enterprise on results that have a customer willing to pay, and minimizes the capital utilized in performance to produce results. Business management is fully explained in the Business Management Toolkit and quickly becomes the business routine. Contrived structures laid over the business that hide the business today are cleared away . The objective is to simplify, organize, and manage the actual business as one business structure.

The enterprise must do new things in order to organize and manage the business, such as:

• Learn and describe its own business in terms of results, capital solutions, and performance of specific solutions implemented to produce specific results
• Learn where and how value is created along a value chain leading to the final customer result
• Learn and describe all capital solutions available to produce specific results and eliminate “intangible assets” and “unknown costs”
• Convert normal management to result management to manage the utilization of specific solutions to produce each specific result along a chain of results to produce a final result
• Convert administrative performance to capital result management to support solutions
• Learn how to determine and manage result value, capital worth, and performance costs
• Determine strategic results to be produced to create strategic value at a strategic horizon in three to five years
• Plan and manage results produced against goals by time period leading to strategic result value
• Learn to determine capital worth and return on investments as functions of result value-added.
• Manage result research  as a project business structure to utilize specific solutions to plan and design new strategic results needed
• Manage development of all new capital solutions through a project business structure to utilize project solutions to develop new capital solutions as project results to capture investment costs, to be amortized in performance costs and add value to specific strategic results for the planned return on investment
• Manage all capital solutions utilized in performance to improve the solution and meet expectations
• Manage over time to optimize results and performance in operation, to develop the capital solutions needed to produce new results, to gain the return by using new solutions properly in performance to add planned result value, and to govern result value created each period to reach the approved strategic result value.

Do you understand and manage the items above, or do you manage structures laid over the business instead? How do you identify and manage the value created and value-added over performance costs across the business? How do you identify wasteful activities that do not add value or capital that is not utilized properly? How do you manage the precise human capabilities and knowledge and other solutions needed in performance to produce each high-quality result that leads to a high-quality customer result?

The enterprise can begin now to learn to business and to build the foundation for transition

Business management is used first learn the business, to solve isolated business problems, and build business management capabilities.. Business management can be used immediately by defining result and capital solution entities in existing processes and information systems to manage result chains. Business management can be used for any new business change or capital development project to manage the results needed and capital solutions developed. For most enterprises, there will be a gradual period of learning the business, trying business management in limited applications, experimentation with result and capital solution definitions, alternative business structures, etc, before actually organizing and managing the complete business.

The transition business management is gradual but provides immediate benefits

Enterprises are showing growing interest in business management as a means to gain and maintain competitive advantage. Enterprises that are interested in managing the business should first conduct education and experimentation to learn the business, then organize the business to test and prove the business structure, and then manage the business as overlaid structures are removed and the functionality is provided by the business structure. The concepts, methods, and support are provided at result-performance-management.com. The objective is to learn business management principles and concepts, to simplify and describe the actual enterprise business, and to develop the management capability to manage the business directly.

The enterprise will discover many benefits by understanding its business prior to organizing and managing the business:

• Managers will recognize their objective to utilize solutions in performance to produce results planned in the business to meet result goals
• Administrative managers can begin the transition to be capital managers
• Capital solution categories and classes enable managers to understand the support and utilization of solutions
• The enterprise can eliminate intangible assets and unknown costs by the first cut at organizing business, human, facility, management, and information capital
• The enterprise can begin to understand result value and value chains, plus results as a entity to absorb performance costs
• Business management is applied immediately for business change or capital development to identify new or improved results needed, to plan the specific capital solutions to be improved or implemented to produce the results, to plan the value to be added to new and improved results, and to manage the return on the solution investments
• Transitions needed to reach 21^st century business management can be planned and understood to move to integrated system and process management, professional records management, capability management to match human capital to the business process, integrated facility capital management, result-performance strategy and tactics management, and result-performance related intelligence
• Relationships between capital solutions, performance, and results produced can be used to assess and evaluate capital worth reductions in performance costs against result value, performance effectiveness in utilizing qualified solutions to produce result quality, performance utilization of capital capacity needed for result volumes, actual against performance expectations and related result goals, and the needs for solution and performance improvement to add to result value
• The result-performance operation-development continuum can be applied to detect and evaluate result symptoms, identify improvement requirements and value, help result users in their operational and development roles, help users with solution assessment and acceptance, and help users utilize solutions properly to increase result value.

Each of these benefits replace wasteful and ineffective efforts today with direct and focused work to manage the actual business. The fundamental benefit of business management is in the change in thinking that occurs as human capital go beyond conventional thinking and think of the enterprise and their own responsibilities in terms of results, capital solutions, and performance. The business is simplified down to six standardized entities to capture and report business data in 1) results managed for the current and strategic business; 2) capital solutions invested in the business available for utilization; 3) performance domains where a solution is utilized to produce a result; 4) business descriptors to describe industries, product groups, customer segments, etc utilized in the business; 5) time periods used for planning and reporting; and 6) enterprises in projects, programs, other internally-related enterprises, plus suppliers, solution providers, and customers that interact with the business. The six business entities are used in place of entities that define overlaid structures today, so the structures can be  eliminated, when the business is managed. Only the actual business is organized and managed to improve the effectiveness of all management and staff.

Result-performance Management (R-pM) provides the knowledge for actual business management

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 20^th 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 21^st century management conventions, definitions, and standards. Management consultants who base 21^st century business management services on R-pM knowledge are licensed to help enterprises learn, organize, and manage the actual business. R-pM and business management are supported at result-performance-management.com.

The Solution to the Economic Crisis is explained in free downloads

Three free white papers explain the dead-end 20^th 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 20^th 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.