R-pM. The only Way to Organize and Manage your Business

Result-performance Optimization: Powerful 21st Century Management

Optimize performance to produce results for the power of 21st Century Management

The enterprise business operates through the utilization of performance solutions to produce results. Performance solutions and results interact for good and for bad depending on how well the business is managed.

R-pM manages the performance for all capital utilized in one performance management dimension and the results produced in the second result management dimension. The main power of 21st Century Management comes from optimizing the actual business performance utilized to improve the actual business result produced.

What is Result-performance Optimization?

Result-performance Optimization means managing the relationship between performance solutions utilized and the results produced by the business to produce high value-quality results through cost-effective performance.

R-pM organizes the business as a result-performance Business Structure that is like a spreadsheet, with the Result Structure placing results in columns across the top and the Performance Structure placing performance solutions in rows down the side. A cell captures information on the deployment of a specific performance solution to be utilized for a specific result. The result column totals all of the performance solutions utilized for the result. Each performance solution and the total of all solutions is managed against the result produced.

The power of Result-performance Optimization

Result-performance optimization manages and improves the relationships between results and performance, for each result-performance cell in the spreadsheet, through such 21st Century Management principles as:

  • Define the value for each result in a chain from input results that the enterprise pays for through to output results that customers are willing to pay for. The difference must be shared by all results in the chain
  • Capture all performance costs for all solutions utilized against the value of the result
  • Ensure positive result value-added by increasing result value, reducing performance costs, replacing ineffective solutions, or deactivating low-value results
  • Manage effectiveness as an attribute of the performance solution to ensure that every solution deployed is the qualified solution for that result, and can perform effectively to produce a high-quality result
  • Manage the effectiveness and expectations of solutions in utilization to produce quality results and to quickly improve the effectiveness of the ineffective solution, if a low-quality result is produced
  • Define quality determinates and standards for results to manage each result produced to prevent or quickly identify defective or sub-standard results and to keep defective results out of the value-quality chain
  • Balance the volume of results against performance capacity to ensure that needed result volumes can be produced by the lowest-capacity solution, and to minimize over-capacity in other solutions
  • Manage the risk that a strategic result may not be produced as planned by modifying, hedging, or insuring the result and by managing internal and external performance uncertainty, with checks and contingencies
  • Manage all new or improved results in capital development and business change to ensure that the investment is justified by itemized result value-added over the payback period
  • Substantiate new investments and business change through new result goals accepted by result managers that require utilization of new performance to add value to results to gain the payback
  • Define the full capital development or business change investment by fully costing the development and implementation of every new solution required to produce new results
  • Develop new performance solutions as results in capital projects to capture all development costs
  • Implement the results from completed development as new performance solutions to know the full cost of the investment
  • Charge the amortization costs of investments over the payback period, plus ongoing operating costs, for each new solution, to results produced to manage result value-added and the return on investment

If you understand these principles, you will have an idea of the immense power of R-pM to optimize results and performance, and to provide breakthrough competitive advantage. Virtually every enterprise wants to employ these principles today, but cannot because the enterprise does not organize and manage the actual business.