Note: Descriptions are shown in the official language in which they were submitted.
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- "Strategic Management System"
Field of the Invention
The present invention relates to improvements in
systemising a range of management processes that are
undertaken in the normal course of operating a business,
organisation or a network of businesses or organisations.
Background of the Invention
In any business or organisation, there are a large
number of tasks which involve the participation and
coordination of individuals or groups of individuals at
particular points in time or over a period of time to
achieve maximum benefit, output or productivity of the
group, utilising minimum resources.
Various computer packages available in the market
place go part of the way to assisting in undertaking
organisational planning and performance measurement.
These packages are primarily directed at the achievement
of certain goals within a given time schedule.
Unfortunately, these packages do not allow an
organisation to achieve a fully effective integrated
strategy wherein their plans are fully aligned and active
within the organisation. Further, these systems do not
allow for instantaneous feedback by way of performance
measurement including benchmarking tests and process
improvement. Existing systems further separate the
process of planning from those of measurement,
benchmarking, process improvement and risk management.
When such a separation takes place, substantial
synergisms are lost, in that consistency across an
organisation may be disrupted and access to shared
information limited. For example, known systems may
allow a manager in an organisation to undertake the
formation of a strategic or business unit plan in
isolation and without reference to any planning
undertaken by colleagues elsewhere in the organisation or
without reference to the strategic direction of the
organisation. Further, existing systems are based on the
collection and analysis of retrospective information and
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are therefore only capable of developing organisational
plans based on-past data and are therefore retrospective
in their management approach.
Further, current systems of organisational planning
do not include information or reference to the business
processes that are applied within an organisation.
Current systems are further often based around financial
targets and actions rather than an analysis of the
business processes within the planning entity. In any
large organisation, the processes that an organisation
adopts are normally critical to its competitiveness.
Further, it is to an organisation's advantage to increase
the amount of value derived from its resources and
processes. Such resources and processes are considered
by most organisations as being essential for the
improvement in performance of the organisation and may
include the organisation re-engineering their processes
to be of greater value. Current planning systems do not
link business processes to organisational strategy.
Further, current systems do not align and analyse
any assumptions that are made during organisational
planning that may impact on current and future objections
across the organisation. Although reference is often
made to an assumption, there is generally no attempt in
current systems to analyse the impact of assumptions and
the possible impacts on and across an organisation, and
its strategy, should the assumption prove to be invalid.
Further, current performance measurement systems
normally only present simple figures in a spreadsheet or
graphical format. No analysis is undertaken of any
performance data with regard to its effect on other
business units within an organisation and the effect on a
range of specific performance indicators within the
organisation.
Summary of the Invention
It is an object of the present invention to provide
for an improved form of performance measurement and
planning system through the integration of organisational
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plans and performance measures so as to provide a
substantial synergistic effect.
In accordance with an aspect of the present
invention there is provided a computer system for
performance measurement and planning, comprising:
organisation planning means for the entering,
aligning and linking a number of different organisational
plans;
indicator determination means for determining a
series of indicators for said organisational plan;
benchmarking means for benchmarking said indicators
against internal or external measurements or targets; and
wherein said organisational planning means, said
indicator determination means and said benchmarking means
are interlinked into a single co-ordinated system.
Preferably, there is provided a computer based
framework which provides a fully integrated or linked
approach to organisational planning, the measurement of
performance and the undertaking of benchmarking of
current organisational performance with other business
units, organisations or groups of organisations.
Further, preferably all levels of an organisation
are interlinked and use a consistent planning structure
based on shared information. Hence, the workings of all
levels of an organisation are networked together as are
the business unit plans and measurement procedures to be
conducted with reference to the overall strategy and all
other tasks being undertaken by the organisation.
Further, measures throughout a plan hierarchy may be
related to a common set of Key Result Areas. Business
Objectives and their actions, where defined, may be
linked to a common set of Strategic Objectives, and each
objective may be in turn linked to a set of Strategic
Objectives. This assists in developing a consistent
. 35 approach to achieving the overall aims of an organisation
and in promoting a strategic management approach within
the organisation.
Further, the system of the present invention is
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preferably capable of capturing performance data in real
time thereby permitting a manager to upgrade and amend
plans and other documents so that they are always
current. Hence, organisational planning can be
undertaken based on current data and the plans developed
based on prospective views of an organisation. This
introduces the concept of continuous planning as part of
strategic management behaviour.
Further, the present invention preferably provides
that any assumptions made during the planning process can
be analysed to examine the possibility that they may
prove incorrect and thereby provide an assessment of the
likely impacts and actions that will be required of an
organisation as a result of the impact of an invalid
assumption. Preferably, the present invention also
includes the identification of both responsibility and
authority lines and accountability lines for specific
actions.
Preferably, there is further provided tools to
assist managers to analyse and model the performance of
an organisation at multiple levels, thereby allowing
managers to integrate performance analysis and modelling
into their planning process.
Preferably the present invention allows for the
flexibility to change organisational design and adopt to
whatever configuration is needed to suit their changing
needs including support of hierarchical, flattened and
matrix organisation structures.
Further, there is preferably provided means for
inserting benchmarking data with an organisation's
current or actual data for analysis.
Preferably the indicator determination means
includes means for determining a series of indicators for
said organisational plan and graphically representing
those measures, analysing those measures or modelling
those measures to provide measurement information of past
events or leading information about future events or
alternatives available to the organisation.
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The preferred embodiment of the present invention is
designed to operate on a general purpose computer or a
desktop personal computer either operating in isolation
or included in a network of computers. The present
invention could be implemented on a wide range of
computers utilising standard and widely accepted
programming languages and graphical user interfaces in
the normal manner and in a way that data may be retrieved
to produce reports or a text, graphical or in any another
form.
The preferred embodiment of the present invention
provides for a strategic management system that
systemises and integrates the planning, measurement,
project and benchmarking activities throughout an
organisation, group or network. It further preferably
provides a comprehensive and logical approach to
understanding an organisation and how it functions, both
in isolation and as an integral part of a large
organisation. As a result, management is able to
determine, integrate and direct strategy, in addition to
directing change and performance within and external to
the organisation.
Further, it focuses the key people in an
organisation on any changes in the external business
environment and the organic nature of an organisation.
By integrating planning, measurement and benchmarking the
management of an organisation is required to think and
act holistically, and can adopt a culture of shared
ownership and responsibility. As a result, more people
will be willing to accept accountability and commitment
to fulfilling the potential of the organisation. This
forms the basis for strategic learning and strategic
. awareness, leading overtime to strategic behaviour.
The system is capable of either enforcing or
. 35 optionally sharing information in any form of operational
structure. In this regard it is omni-directional and has
a capacity to share and transfer information between
plans. Further, it has the capacity for information to
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be accessed through a series of security checks.
Information is able to be shared securely amongst a wider
range of people within the organisation and for that
information to be transferred within a hierarchical,
matrix, linear or non-directional form. The capacity to
share information and experience and undertake a range of
self-assessment procedures and comparative exercises
whether as part of the performance measurement function
or the benchmarking function, encourages the use of
strategic management behaviour and facilitates the
process of organisational learning. This supports the
concept of self assessment through performance
measurement and benchmarking as part of strategic
management behaviour.
Preferably the system is capable of being used in
whole or in part and is flexible in the demands that it
makes of the user. Similarly, it is flexible in
satisfying the needs of the user and can be adapted to
provide as much or as little functionality as is
required. Further many parts of the system are non-
reliant on other parts of the systems. In this regard
the user is able to access and utilise as much or as
little of the system as is required without limiting the
desired functionality. In this regard the level of
flexibility available to users allows the user to be
self-determining in the quantity of the system that is
accessed at any point in time or over time.
The increased synergism and awareness of the
organisation and how it functions, both in isolation and
as an integral part of a large group, provides a basis
for the members of the organisation to work cooperatively
towards best practice. Further, the preferred embodiment
allows the organisation to choose the degree of
management or autonomy and flexibility that suits its
particular culture and corporate objectives. A resulting
increase in strategic awareness and strategic behaviour
through increased awareness often results. In this way,
the preferred embodiment supports strategic learning and
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other changed management and improvement initiatives that
may be operating within the organisation. Preferably,
senior managers set the overall direction for an
organisation. However, people at all levels have a valid
and essential role in participating in planning and
contributing to the development of strategic and business
objectives.
Further, the preferred embodiment collects
appropriate internal data for measurement. Performance
indicators are structured in the context of the
organisation's overall strategy and objectives.
Indicators of both financial and non-financial
performance are preferably utilised to focus the
organisation on areas central to its overall success.
Preferably, the embodiment of the invention encourages
continuous improvement by using internal and external
benchmarks to ensure an organisation is focused on the
best industry practice as measured in accordance with
those benchmarks for the organisation's core processes
and activities. The preferred embodiment can assist
organisations to establish and communicate clear
strategic objectives and effective measures of
performance. The benchmarking capability supplements the
communication process and ensures that managers are
constantly aware of internal performance and how it
compares with best industry practice.
In summary, the preferred embodiment can include or
result in the following advantageous features:
1. The demonstration of leadership emanating from
top management by clearly translating vision, values and
strategy throughout the organisation and providing a
consultative approach to organisational planning and
performance measurement which in turn encourages
ownership by the members of the organisation. Further,
consistency is provided in communication, linking
strategy, objectives and actions. The system supports a
commitment to continuous improvement and best practice
and allows for strategic management and strategic
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learning.
2. The preferred embodiment provides an integrated
and holistic approach that links strategy, objectives,
processes and measurement with implementation structures.
The identification of assumptions and risks and the
analysis of the impact of invalid assumptions and project
management are treated as integral parts of the planning
and performance measurement processes in a prospective
way.
3. The measurement of performance through key
result areas and indicators provides a balance between
financial and non-financial performance measures and
allows cross-functional measures for supporting
performance gap analysis. Utilisation of the cross-
functional indicators eliminates conflicting measures
across an organisation.
4. The benchmarking process is treated as integral
part of strategic management, and the focus is on
continuous improvement including identifying the gap
between actual and best practice performance.
5. Analysis tools can be used while viewing plan.
6. An ability to share information up, down and
across the organisation.
7. The development of plans may emanate from the
objectives and needs from originating business units or
from support units with the intention of achieving a
"grand plan" for the organisation that considers the
objectives and resource requirements of all parts of the
organisation. This may be achieved in a way that is
either individually based or consensus driven. The
system has the flexibility for the organisation and/or
its parts to define the methods for establishing plans
and developing performance measurement and benchmarking
protocols.
8. An ability for parts of an organisation to
develop reports of performance measurement from a range
of sources and to analyse those reports as well as to
receive interpretative applied management information as
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to performance.
9. An organisation can model information and
develop alternative routes to improving performance by
considering a series of interrelationships between
performance measures within the organisation, business
unit, team or at an individual level. In these respects
the system can accommodate a variable range of complexity
in the interrelationship and reports these
interrelationships graphically or in narrative forms.
Further, it can provide interpretative information as to
the range of possible outcomes and relate these outcomes
to a range of planning options. The system can then
interpret these in the context of the impact of the
outcome on the overall objectives of the organisation and
provide a gauge as to the likelihood of the overall
objective, whether at a business or strategic level,
being met.
10. An ability to secure planning information
and manage the security of information during the
planning cycle whilst communicating broadly strategic
imperatives and data.
11. An ability to manage the dynamic
development process through the provision of structured
and relevant information from a wide range of sources to
the planning process. This is done by providing in real
time and within a framework, information that considers
the current and prospective issues that should be
considered in the planning process facilitating an
environment of strategic management and promoting the
cultural environment that encourages organisational
learning.
12. An ability to consider the resource
requirements and the benefits that would be derived from
setting and achieving an objective and measuring progress
toward achieving the objective in an on-going
environment.
Other advantages of the invention will be evident
from the subsequent discussion of its preferred
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embodiments.
Brief Description of the Drawings
Notwithstanding any other forms which may fall
within the scope of the present invention, preferred
forms of the invention will now be described, by way of
example only, with reference to the accompanying drawings
in which:
Fig. 1 illustrates one form of construction of an
entity interrelationship in accordance with the preferred
embodiment;
Fig. 2 illustrates the overall organisational
perspective utilised in the planning mode of the
preferred embodiment;
Fig. 3 illustrates a table of planning sections and
work areas to be constructed in each planning section in
accordance with the preferred embodiment;
Fig. 4 illustrates one form of user interface for
the entry of objectives into the planning database;
Fig. 5 illustrates one form of user interface for
the entry of measure of data into the planning database
of the preferred embodiment;
Fig. 6 illustrates a form of user interface for the
entry of funding details into the plan database of the
preferred embodiment;
Fig. 7 illustrates the process of risk analysis
utilised in the preferred embodiment; and
Fig. 8 illustrates the process of locking
information from one plan work area to another plan work
area.
Description of the Preferred Embodiment
The preferred embodiment of the present invention is
implemented on a network personal computer utilising
standard operating systems, language and user interfaces.
For example, the embodiment can be ideally implemented in
Microsoft's Visual C++ (Trade Mark) utilising a standard
windowing systems such as Microsoft Windows NT (Trade
Mark) or Microsoft Windows 95 (Trade Mark).
The preferred embodiment is best implemented by
. ,
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means of a number of large adaptable database and various
user interface programs which are constructed, in the
normal manner to create, view and modify the contents of
the database.
Initially, an "entity database" is created of
entities within an organisational hierarchy. The entity
database is designed to have entities added and deleted
at any time and for each new entity to be provided or
added to the database. Preferably the entity database is
constructed or amended only by a user having privileged
access (such as a network administrator). A user is
prompted, by means of the user interface, for various
details on the entity. These details can include prompts
for the name of the entity, a description of the entity's
nature and function, a entity type description which can
for example, include such descriptions as business unit,
company, department, division, joint venture, team,
individual etc. Further, the entity entry contains a
description of its relationship to the other defined
entities. The nature of possible relationships can be
user defined in an arbitrary manner and can include
colleague, competitor, customer, joint venture partner,
land lord, subsidiary, employee etc. Finally, the entity
entry includes details on the entity including such
matters as addresses, phone numbers, contacts etc.
Turning now to Fig. 1, there is illustrated an
example layout 1 of entities eg. 2 as defined at the end
of the entity definition phase. Although the actual
entities and their interrelationship is totally user
definable within the entity database, the form of entity
database as shown in Fig. 1 is based around the core
entity of the organisation 3. This entity 3 is related
to external supplier, customer and competitor entities
and itself includes a number of department entities each
a 35 of which has a manager, a number of sections and with
each section having a number of employee persons.
The next step in the preferred embodiment is to
create a plan for each desired entity within the
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organisation.
Turning nova to Fig. 2, the overall structure of an
organisation is assumed to have an overall relationship
as indicated 10. This can be divided into two main
perspectives being the organisational perspectives 11 and
the operational perspective 12. The operational
perspective 12 is further divided into the fields of
business activities 13, support activities 14 and project
activities 15. Each of the perspective 11, 12 are
further divided into a number of plan sections eg. 16
(vision and mission), the operation of the planned
sections being described further hereinafter.
As mentioned previously, an interactive plan
database is then constructed having one current plan for
each desired entity (in addition to historical plans and
"work in progress" plans stored as required).
Turning now to Fig. 3, there is illustrated the
structure 20 of a single plan. The plan 20 includes, for
each plan section (eg. vision and mission 21) a series of
work areas 22 that need to be completed for that
particular plan section, with a tick at the row - column
intersection meaning that the column work area is
required to be completed for the particular row plan
section. The manner of building up a plan 20 is
preferably "guided" by means of a user interface.
However, ideally a user can enter the details for any
plan section's work areas they require and the user
interface preferably provides for such an adaptive form
of data entry.
Taking first the plan work areas 22 for the entry of
information, they are as preferably follows:
To Plan
The to plan work area differs from other areas in
that it does not allow the entry of data but rather
provides a list of prompts that the user should consider
in working through each of the subsequent work areas for
a particular plan section. Hence, the to plan work area
provides a check list to ensure proper preparation for
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the entry of data into the selected plan section. The
information could be provided via an interactive user
interface and preferably is designed to be updated and
amended during the life of an organisation.
The prompts that should be considered in the
planning process can be changed and accommodated to suit
the needs of the user or groups of users in real time and
to facilitate a highly interactive planning environment
within an organisation. The use of amendable plans
facilitates a dynamic planning environment within an
organisation that promotes organisational learning and
the development of a strategic management culture. The
information that can be utilised within this task can be
sourced from a variety of places and updated regularly.
Current Work Area
The current work area provides a location for the
storage of information relating to the current position
of the entity. Preferably this information is entered
within the computer system in a free text flowing form
and can include text, charts, graphic information
imported from other Windows applications. This, of
course, includes the importing of information from other
plan areas and from the plans of other entities.
Intended Work Area
This area is provided in the same form as the
current work area and is provided for the entry of
details of the desired position at the end of the plan
period.
KeSr Resul t Areas (KRA' s )
The KR.A's are only defined for the limited plan
sections being the strategic objectives and the business
objectives. The KRA's are designed to give the
organisation a focal point for developing performance
measures against the strategic and business objectives.
Typical KRA's include customer satisfaction, business
development, revenue growth, innovation etc. The KRA's
are preferably short and "succinct" and designed to
capture, in a few words, the essence of strategic focus.
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For each KRA to be inserted in a list, its name and
description are also preferably inserted.
~biectives
In the objective work area, entry of the objectives
set for the particular plan section is provided.
Preferably, details of the actions required to achieve
each objective and the processes that will be affected by
the objectives are also provided.
Turning now to Fig. 4, there is illustrated merely
one form of user interface suitable for the entry of
"objectives" information into the objectives database.
The interface 40 includes a list of the currently defined
objectives 41 with a currently selected objective having
its name 42 and description 43 displayed. Means 44 is
provided for adding further objectives. For each
objective, a list 45 of actions required to achieve the
objectives is provided with the ability to add 47, delete
48 or edit 49 the action information associated with the
objective. Upon activation of the add action button 47 a
further dialogue box can be provided for the addition of
further actions, associated descriptions and various
other relevant information such as target dates,
responsibilities and authorisations as required, the
information subsequently being stored with each action of
a particular objective.
There is further provided 50 a list of the processes
likely to be affected by the objective. The list of
processes can be selected from an overall process type
database which lists all the organisations business
processes. A user can then select 51 processes from the
overall global list which will be affected by a current
objective.
Measures Work Area
In the measures work area, the key performance
indicators (KPIs) for each objective are entered. These
key performance indicators are then matched to the
overall relevant key resource areas (KRAs) previously
entered. Turning now to Fig. 5 there is illustrated one
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form of user interface for entry of KPI measures. For
each objective in the objectives list 61, the key
performance indicators for that objective is listed 62.
Means can be provided 63, 64 for the adding or deletion
of key performance indicators from a global KPI list.
For each KPI within the list 62, means is provided for
data entry 63 specifying desired targets. Also, means is
provided 64 for the entry of key resource indicators that
are relevant to the key performance indicator selected.
Funding Work Area
The funding work area identifies the resources
required to achieve each objective. Turning now to Fig.
6 there is illustrated one form of suitable user
interface for the data entry of funding information. For
each objective in the objectives list 71 a resource list
72 is provided in addition to means for the adding 73 and
deletion 74 and editing 75 of the resource details.
Various total information can be provided and further,
data entry area 77 can be provided for the adding 78 and
deleting 79 of incurred expenditures.
Risk Work Area
The risk work area is used to detail the assumptions
and perceived risks for each plan section. It provides a
form of scenario analysis that is preferably capable of
addressing impacts of invalid assumptions and the actions
required for planning for such impacts. The risk area
preferably operates by perceiving an organisations
internal and external operating environment at any point
in time. Preferably, the risks work area allows the
construction of a hierarchical structure of assumptions
and risk implications. Essentially, the risks work area
can comprise a list of assumptions with each assumption
having a structure 90 as illustrated in Fig. 7. For each
new assumption 91, a user interface is provided for
initially setting out the name and description of the
assumption. Next, means as provided for attaching a list
of new identifiable risks 92 for each new assumption.
Preferably, an arbitrary number of new identifiable risks
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can be provided with again a name and description of the
resultant identifiable risk also being provided. For
each new identifiable risk eg. 93 there is preferably
provided means for entering a list of risk impacts eg. 94
again in a name and description format. A probable date
on which the risk may also be provided. Additionally,
there is provided a means for relating the risk impacts
to a list of relevant entities that will be impacted.
Optionally, a list of performance measures that may be
affected by the risk should it materialise may be
provided. For each risk impact 94 there is preferably
provided a means for entering a list of new risk actions
95 which allow for the entry of various actions to be
taken as a result of the risks impacts including a name
and description of the action, a responsible entity and
an impacted plan section. Hence, the overall risk work
area results in a hierarchical structure 90 that can
include as much, or as little detail as required. In
this way, a database of assumptions, their associated
risks, their likely impacts and what actions should be
taken can be constructed in advance allowing for a more
holistic approach to risk assessment.
Returning now to Fig. 3, the various work areas are
to be completed for each plan section eg. 21 as required.
The plan sections are themselves divided into
organisational and operational perspective with the
organisational perspective recording the organisational
profile, external environment, vision and mission, core
values, strategic objectives and business objectives.
Where the entity that is having a plan created for
it is below the organisational entity, this information
can be directly inherited from the plan for an
organisational entity. Where the entity is inheriting
information from another plan, that information can be
preferably transferred or shared from any other plan in
the structure. Information that is transferred or shared
can be done so either in whole or in part and can be
transferred to a specific plan or to a number of plans.
~ .. i ,
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Preferably, the entry of information into each work
area is proceeded by the "to plan" section which details
how to go about the entry process and what factors should
be considered. This can be automated by automatically
following the relationship of subordination to fill out
the organisational perspective of subordinate entities.
Turning now to each plan section of Fig. 3, the
organisational profile contains historical aspects of the
organisation, the external environment provides an
overview of the external operating environment and the
factors that may impact on the organisation. In the risk
work area of the external environment, the risks
associated with the external environment assumptions that
should be analysed. In the vision and mission section
21, a concise statement of the organisations business
purpose should be set out and again the risks associated
with the mission assumptions should be set out.
In respect of the core values section, these values
can be documented in the current work area. Further,
utilising the objectives, measures and funding work
areas, documentation of how the care values are to be
understood and demonstrated throughout the organisation
and the extent to which the core values are shared can be
monitored and assessed.
In respect of strategic objectives, the strategic
objectives of the organisation are set out. This
includes the recording of the organisations key result
areas (KRAs) with a similar process being undertaken for
the business objectives section.
Next, in respect of the operational perspective,
records of the internal operating environment and its
objectives and actions are kept. Preferably, there is a
distinction made between those plan sections that
directly support the organisations customers (the
business activities) and those plan sections that
indirectly support the organisation's customers (support
activities). In respect of the various business
activities, the work areas are utilised to enter details
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in respect of the following:
* Revenue - sources of revenue for the
organisation including sales, investment, grants,
programs or funds, asset disposal.
* Markets - managing sources of revenue and
managing produces and services. Entry of the details of
the advertising and promotion of the organisation and its
products, services, pricing, location, market research
and business development is provided.
* Relationships - managing internal and external
relationships, including staff, unions, customers,
suppliers, capital markets, stockholders and
shareholders, regulatory agencies, government etc.
* Operations - includes activities associated with
the organisation of resources for the production or the
delivery or products and services.
* Logistics - includes inbound and outbound
activities such as purchasing, inventory management,
transport and storage.
* Research - includes all research and development
activities up to the point of commercialisation. These
include the development of new products and services,
basic and applied research and the application of
innovation to products and procedures. For some
organisations such as universities and research centres,
research activities may be a key product or service.
In respect of the support activities being those
activities which indirectly support the organisation's
customers, the following details are entered in each plan
section:
* Human Resources - the organisation and
deployment of a labour force. This includes
remuneration, performance and reward schemes, training
and development, recruitment and separation procedures,
change management, occupational health and safety etc.
* Information Management - the organisation and
facilitation of information. This includes technology,
systems, hardware, software, platforms, robotics,
,.,
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_ reporting protocols, data management, consultation and
support.
* Financial Management - budgeting, accounting,
auditing, risk management.
* Asset Management - managing the assets of the
business required to produce revenue or provide a
service. This includes acquisition and management of
capital, and investment in land, buildings and equipment;
including, asset utilisation, measurement, maintenance
and disposal.
* Risk Management - the identification and
management of all categories of business and personal
risk.
There is also provided the plan sections for project
activities including a project program, a new project
plan and a new benchmark plan section area. The
preferred embodiment treats the aggregation and funding
of projects as integral to the planning and performance
measurement process and applies a number of the work
areas to each project activity.
The project program plan section provides a frame
work for identifying, proving and managing the
organisations development and benchmark projects in line
with strategy. The new project plan section provides a
management view of the scope of work required, background
to the project and an identification of those persons
sponsoring the proj ect and forming the proj ects with the
relevant details being entered within the corresponding
work areas. The new benchmark plan section allows for
the planning of new benchmark structures to be submitted
for relevant the authorisation.
The performance measurement process can proceed for
each entity by the extraction of the entity's indicators
entered as part of each plan section's "measures" work
area. These indicators can be collected together in a
table. Preferably, a separate database of indicators is
kept for each entity thereby constructing a performance
database.
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_ Preferably, the performance database includes means
for entering measurement data for each of the indicators
where required. The performance data can be defined to
be entered over arbitrary time intervals however, monthly
time intervals are suitable.
Preferably, there is also provided a user interface
to the performance database for the construction and
graphing of the entered performance figures including
means for constructing derived indicators which can be
constructed from an arbitrary user defined factored
combination of the entity's performance indicators, with
full graphing and reporting facilities being provided.
The user interface preferably also allowing the
construction of models to test, and examine hypotheses as
required. Alternatively, the performance measurements
and data can be written out to a file and interactively
interrogated by means of standard accounting software
packages such as Microsoft Excel.
The preferred embodiment also preferably provides
for the ability to benchmark one of an entity's
indicators against any of the indicators of any other
entity defined within the entity database. Upon entry of
the data associated with each of the selected indicators,
graphing and reporting functions are provided for the
production of output reports highlighting the interaction
of the indicators selected.
It would be understood that the preferred embodiment
provides only a skeleton which can be utilised and
adopted by an organisation to, over time, customise the
application in accordance with requirements. In
particular, each organisation will have its own reporting
and analysis requirements depending on the functions
carried out by the organisation. The preferred
embodiment however, provides an integrated planning,
performance measurement and benchmarking system which can
be adapted to the needs of the organisation.
Further, the organisation's senior management can
develop, over time, a series of benchmarks and indicators
., ~ t
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which they wish to utilise as prime indicators of the
organisation's performance.
Further, when utilised in a computer networked
environment by multiple users, the ability to lock data
so that it can not be changed or perhaps even viewed by
other parties is preferably provided. It will be evident
that the preferred embodiment has particular application
in a networked environment where multiple users can
interactively edit their own plans. In a refinement of
the preferred embodiment, there is provided the ability
for one entity to lock data from, say entity A's work
area into the corresponding area of entity B's work area.
An example of this process is illustrated in Fig. 8
wherein the revenue plan section of entity B 100
includes, as normal, a current work area where free
flowing text is entered. A "locking" user interface can
then be provided for entity B 101 to lock the contents of
entity A's revenue current work area 102 into the entity
B's revenue current work area 100. In this way, entity A
can ensure that entity B is aware of all of entity A's
consideration on that particular issue in formulating its
own current work area. Preferably, any updating of the
entity A revenue current work area is further reflected
in the entity B revenue current work area as well. In
this way, entity B is encouraged to take a more holistic
approach in its planning process. Preferably, in a
mufti-user organisation environment, there is provided
the ability to arbitrarily lock information from work
areas of one entity's plan to another entity's plan. In
particular, locking the current, intended and objective
work areas have been found to be particularly useful when
utilising this feature.
As a further refinement, when operating in a multi
user environment, there is preferably provided the usual
security mechanisms, popular in modern operating systems
of allowing each user to set security levels for the plan
sections of their responsibility. This can include
allowing or barring other users from reading or altering
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information contained in each relevant plan section.
It would be appreciated by those persons skilled in
the art of computer programming that numerous variations
and/or modifications may be made to the description as
previously described particularly in the customisation of
the user interfaces to the various databases and the
customisation of the database in accordance with local
requirements. These modifications and variations would
not depart from the spiritual scope of the invention as
broadly described. The present discussion therefore of
the preferred embodiment is to be considered in all
respects to be illustrative and not restrictive.
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