Organize capital into solutions utilized in performance to produce value in results
In an article posted on 16 March 2006 “Replacing Administration with Capital Management”, we discussed the problems with the way the conventional enterprise identifies and manages capital. Capital is assigned to responsibility centers, administered by functions, or just labeled “intangible assets”.
21st Century Management organizes capital to be managed and utilized
Result-performance Management (R-pM) is the conventional method to organize the business for 21st century management. R-pM organizes capital into specific performance solutions to be managed through capital management and to be provided to produce results through performance management. Capital is organized in two ways:
- By the capabilities required to manage and support the capital
- By the way it is utilized to be integrated to produce results
Learn more about performance at the R-pM website and in the R-pM community download “Organizing and Managing Performance”.
Capital is not organized and managed in the conventional enterprise
The conventional enterprise does not identify and manage its capital to produce the value and benefit potential. Much capital is not identified. The problem is ignored by labeling the capital as “intangible assets”. Most other capital is administered by administration functions that rarely view their role as managing and maximizing the worth of enterprise capital. For the most part their capital is not identified as solutions utilized in performance.
R-pM employs principles for Capital Management
R-pM takes a different view of capital embodied in the following principles:
- All capital in the enterprise must be identified and managed to maximize its worth. There are no such things as “intangible assets”
- Capital is broken down into specific performance solutions that can be managed and utilized to produce value in results
- Capital that must be supported together and that requires the same basic human aptitude and capabilities to manage and support must be organized together
- Capital must also be organized so that it can be effectively integrated and utilized by the organization to produce results
When the enterprise organizes capital to be managed by professionals with the proper aptitude and to be utilized by the line organization to produce results, then the enterprise can replace administration and unmanaged capital with capital management.
21st Century Management eliminates 20th century problems
Eliminate costly 20th century problems by organizing your business for 21st Century Management. Slash costs, simplify business management, and boost your competitive advantage through Result-performance Management (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. Learn more about the R-pM breakthrough for 21st century management and subscribe to your 21st Century Management Manual, including free updates, at result-performance-management.com.
