The Logic of a Business Result Structure
The business is the utilization of capital as business solutions in performance to produce business results. Business results are the specific economic outputs of value. Results can be counted and may be measured in other ways. Results have attributes that define the quality, value, and other characteristics of the result. Results must be logically structured by the management responsibilities for results and by the overall objectives of results.
Results are organized into one enterprise result structure, containing all the results produced by the enterprise, and deactivated results that still have recorded value, costs, and other attributes. The result structure is managed by result organization relationships from end-results to set-results to key-results to show the reporting lines and relationships for managers responsible for results by level of management. The result structure is organized by result objective to organize revenue results, capital results, and investment results.
Special extracts from the result structure may use other result relationships and may be managed to focus on result sets, value-quality chains, result management or participation responsibility, result value evaluation, and other purposes.
The Result Structure is business organization capital to organize results produced by the actual business
The enterprise business organization consists of the business result structure and the business performance structure. The business organization is not produced by a management study or decision. Management decides on strategic results needed and the performance solution investments needed to produce strategic results.
The business organization is enterprise capital that must be managed by professionals like any other type of capital. The business organization professionals must define result organization relationships to build and maintain the enterprise business result structure to represent the actual business results accurately. The Logic of Result Relationships was the subject of a recent discussion.
The Result Structure consists of key-results, set-results, and end-results
All results that must be produced by the business must be organized in the result structure to manage the complete business. Every result at each level must have one responsible manager. The structure shows the relationships between result managers. The structure consists of three levels of results:
- Key-results that must be produced at the highest level for a successful business
- Set-results are lower level results that include other lower-level results and are defined as needed to manage results together, define result chains, and group results needed for a higher-level result.
- End-results produced directly from performance provide the lowest level in the structure.
Key-results are the highest-level of results covering the complete enterprise. Key-results must be defined so that all set-results in the result structure are organized within a key result. Set-results may include other set-results or end-results. End-results are produced at the lowest level of the result structure, directly from performance. There are only end-results at the lowest level of the result structure. There are only key results at the highest level. There may be multiple levels of set-results in the structure to reflect the actual business and organize end-results into key-results.
Results are grouped into Revenue, Capital, and Investment results
The enterprise essentially contains three separate result structures to group results by the main result objectives. There are three result groups:
- Revenue results: The results that produce the main line enterprise business objectives. Normally these results are directed at strategic enterprise results and producing revenue and profit results
- Capital results: The results that must be produced to support capital in operation and development, and to provide the performance solutions needed to produce results
- Investment results: The results produced in planning and capital development projects, which are normally aimed at producing a new solution or result. Investment results for solutions are implemented to capture development costs, and turned over to capital management to be supported through capital results.
Results may interrelate across the result structure by other result relationships. A revenue structure result, managed by a revenue result manager, may produce a capital result, like maintained equipment.
The Result Structure organizes enterprise results by the organizational result management relationships
The logical definition says the result structure precisely defines the organizational relationship from a lower-level result to a higher level result to show management responsibility for results and defines those results that are directed towards revenues, capital management, and investment management.
The result structure shows the organization of all results in the enterprise, the level of results as end-results from performance, set-results to organize end-results and other set-results for management, and key results for the major results produced across the enterprise.
The result structure separates results into groups as revenue results, results produced by the line result management; capital results, results that support capital and provide solutions; and investment results, results that develop new results and solutions and manage change over time.


June 25th, 2007 at 04:45
[…] The last two articles in the Logic of Business Management series discussed the Business Result Structure and the Business Solution Structure. Review these articles if you are not familiar with these structures. The business structure is created by combining the result structure with the solution structure. The business structure can be viewed as a spreadsheet. The result structure is normally depicted across the columns and the business solution structure is depicted down the rows. Combining the structures shows all the results that the enterprise must produce across the columns and all of the business solutions available to produce results down the rows. This defines the entities that make up the business and sets the business to be organized. […]