There is
something mesmerizing about the word
strategy. General von Clausewitz
cautioned “strategic
plans are valid until the first
encounter with the enemy”. Since,
globalization, i.e. the systemic
interactivity, has led competent managers to
look beyond the mission that is articulated
in business-policy, and to focus also on the
means, the men and their mind-set, and the
management.
These 5 <m>
integrate the
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business model,
and, as quoted by one of the models shown on
Wikipedia, “the real power of the
business-model is when each element works in
concert”.
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Internet Business Models
Wikipedia
shows a vast array of different models of
the business-models that have been developed
by academics and consultants. Most of them –
I find – are exceedingly complicated. What
is really surprising is that I detected only
two models that put
business-value in the center of their
presentation. By Jove, the main mission of
the management is to continue to create
business-value in the enterprise at least
competitively or to face extinction!
In my last
book "The
Innovative Enterprise - How to
Transform a Traditional Organization in an
Innovative Networking Enterprise" I focus on the principles and
practices needed to establish and to run an
innovative
company. Obviously, the
advocated management system relies on an
innovative business-model, which I will
describe hereafter.
→
Systemic
Innovation: 7 Areas
The principle of my model is that it is very
simple, but that it gets more and more
detailed. However, as stated earlier, all
its elements that cover the 5 <m> are
interactive.
In a nutshell, business-value is
created/destroyed by
teams working
essentially on the basis of
project-by–project. Thusly, business-value
is created/destroyed on the 5 strategic
resources of the enterprise, namely the
Corporate Capital, the Talent Capital, the
Market Capital, the Life and Time Cycles,
and the Financial Capital. Some of these
strategic resources work inside/out, others
outside/in. All the aforementioned strategic
resources feature 5 resource-components.
This enables the life-forces of the
organization to zoom-in on the creation of
business-value.
The strategic resources are put into gear by
management processes. At the basis of the
construct of the management processes I put
(1) the strategic deployment, (2) the
organizational deployment, and (3) the
<Returns on Total Resources>, a well
balanced
performance evaluation system that
duly takes into account the fact that 4 out
of the 5 strategic resources are essentially
intangible resources.
The <Model of the Two
Rings> is the framework that I have
developed to integrate the 3 aforementioned
pillars of the management processes.
→
New Product Development: 10 Best Practices
→
Google's 9 Notions of Innovation
How To Prevent Innovation: 10 Humorous Tips |