Enterprise Capital Development with an Unorganized Business causes Unsolveable Problems
Enterprises must organize the business to develop properly
Result-performance Management (R-pM) organizes business outputs in results and the capital utilized in performance into one integrated business structure for 21st century management. The business itself provides one structure to organize and manage both operations and capital development. Enterprises develop capital in two dimensions through new or improved performance solutions used to produce new or improved results. R-pM plans and manages both the new solutions being developed and implemented and the improved results being produced. Investment costs are in the solution development; investment benefits are in the value added to results. All new and prior solutions are integrated and aligned with the results produced and managed as one business whole.
Conventional capital development overlays new organization and management structures on the business
Conventional 20th century enterprises do not organize and manage the results they produce or the performance solutions utilized to produce results. This makes it very difficult for the enterprise to plan and manage development. Enterprises go through many development projects to develop organization structures, strategic planning structures, business processes, information systems and application architectures, charts of accounts, performance management structures, etc. The objective of development is to implement the structure in one dimension to improve performance. Since the business is not organized, the business cannot be developed, per se. The development is to the enterprise through enterprise organization and management structures that are overlaid on the business.
Conflicts between overlaid structures and the business produce unsolvable 20th century problems
The implemented structures are rigid, define their own set of information entities, and must be separately managed for any change to the structure. The structures are rarely integrated with each other. The emphasis is on aligning structures with each other and the business. The results produced and performance utilized by the business must change continually, while the overlaid enterprise structures remain rigid.
This causes conflicts between the actual business and the overlaid structures, producing unsolvable problems like reorganizations, business complexity, unknown costs, change management, collaboration barriers, ill-informed governance, information complexity, and unaligned processes, systems, intangible assets, outsourcing, strategy, customer needs, etc. Periodic “business change” projects are required, not to change the business, but to align overlaid structures closer to the actual business.
Result-performance Management (R-pM) is one integrated solution for capital development and business change management
Result-performance Management (R-pM) provides one integrated method for enterprise capital development. This enables the enterprise to develop specific solutions for specific results and manage the results that must be added or improved, to finally manage the benefits of development, rather than overlaying separate structures and implementing the cost of development.
Learn more about R-pM in the articles under Learn the Basics of R-pm or visit result-performance-management.com to download documents on R-pM concepts and “Beneficial Result-performance Development”.
21st Century Management eliminates 20th century problems
Result-performance Management (R-pM) eliminates the capital development problem and other costly 20th century problems. Slash costs, simplify business management, and boost competitive advantage through R-pM, the conventional method for 21st century management.
Download your 21st Century Management Manual today
Your 21st Century Management Manual, The R-pM Toolkit, is available today and is under continual development to expand and refine 21st Century Management. Get your R-pM Toolkit, and future updates, at result-performance-management.com.
