Performance — utilizing capital as specific performance solutions to produce value in specific results
In recent article posts we discussed “Separating Results from Performance Management” and “Years of Bad Management from Mindlessly Copying a Bad Definition” that discussed the serious management problems due to the flawed definition of “performance” and “performance management”.
We discussed how we must separate results from performance. Performance includes only the actions of performance. Performance is the utilization of capital to produce value in results. This definition of performance is very specific. We can no longer think of performance as going through the motions or producing something that others can appreciate. Performance can no longer be measured through various contrived methods and arbitrary indicators.
21st Century Management Management manages performance to produce results
Result-performance Management (R-pM) is the conventional method to organize the business for 21st century management. R-pM separates results from performance, and manages performance to utilize capital as performance solutions to produce results. R-pM organizes the capital utilized as specific performance solutions to be deployed to produce specific results. View the page “Performance: Cost-effective Capital Development and Utilization”
Performance utilizes capital in performance solutions to produce results
Performance provides the motor for the enterprise. Performance is what gets things done. Performance utilizes capital. What is the capital that is utilized? The conventional enterprise does not know what capital is utilized. The capital of the most worth in performance is “intangible”.
We must define and organize the capital utilized in performance into specifically identified performance solutions. Many solutions are utilized in performance. We utilize as such solutions our own capability, a business process, computer equipment, management guidelines, and information when we perform. Each of these solutions is defined.
Performance utilizes performance solutions to produce value in results
Performance utilizes capital to produce value in results. What are results that contain this value? The conventional enterprise does not know what results are produced by performance. Some entities are defined such as material, product, service, revenue, but they are separate entities. They are not defined as results within the set of enterprise results.
We must define the results that are produced by performance across the scope of the enterprise. Everybody in the enterprise is working on a result. The result may be a specifically defined result from his performance, or it may be a sub-result that contributes to a result defined at a higher level.
Performance consumes capital in performance costs to produce value in results
So, in order to perform, we must know the capital we are utilizing. Utilizing capital in performance incurs costs. We want to know all the costs we are incurring. In order to perform we must know the results we are producing. Performance produces value in results. We want to know all the value we are creating.
We cannot really understand, measure, or manage performance, until we understand, measure, and manage the capital that utilized and until we understand, measure, and manage the results produced.
Result-performance Management measures the performance that produces measured results
The answer to performance is 21st Century Management through Result-performance Management (R-pM).
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.
