Month: January 2012

Welcome to BPMSG

Concepts, Methods and Tools to manage Business Performance

  • You want to make profit with your company?
  • You want to find out where the company stands and actively manage and optimize its performance?
  • You want to set-up your own small business and need to find out whether it can be successful?
  • You need to write a business plan?
  • Or you just want to learn something about business performance, key ratios and indicators to get a better insight in business processes?

Whether you are a CEO of a company, a private person to setup a small individual business or a student, these pages will give you a better understanding of some basic facts and relationships in business. 

I have provided them based on my practical experience in working life. I am convinced that you will find some interesting parts, which you can adapt and apply to your business operation.

Maybe, the viewpoint is sometimes different from what you have learned before. As I am an engineer, I am approaching the topic with my engineering background. Don’t be worried, when I sometimes use mathematical expressions. I do it in order to have a more general coverage of the concept, and I am using just simple operations like addition, multiplication, and so on. In most cases you can make all necessary calculations with a simple calculator.

I hope you enjoy the web-site, if you want to comment, feedback or make suggestions, please feel free to do it here.

The site went on-line on May 1st, 2011

Combined Performance Index

BPM-combIn order to limit the number of Key performance Indicators (KPIs), and maintain clarity and conciseness of a dashboard, sometimes it might be useful, to combine a set of performance indicators into one single key performance indicator. This latest episode of my podcast will show, step-by-step, how you can build up a combined performance index. using

  • a target value,
  • a base value and
  • a weighting

for each individual indicator. It also gives an example how to implement this concept in an Excel spreadsheet.

Quotes

  • Great minds discuss ideas, average minds discuss events, small minds discuss people  (Eleanore Roosevelt)
  • Much learning does not teach understanding (Heraclitus,  540 BC – 480 BC)
  • The beginning of knowledge is the discovery of something we do not understand. (Frank Herbert, 1920 – 1986)
  • Victory belongs to those who want it the most and stay in it the longest. (Sharif Khan)
  • In any moment of decision the best thing you can do is the right thing, the next best thing is the wrong thing, and the worst thing you can do is nothing. (attributed to Theodore Roosevelt)
  • Whenever you’re in conflict with someone, there is one factor that can make the difference between damaging your relationship and deepening it. That factor is attitude. (William James)
  • Some things are too important not to share. (Bottom line of a commercial by a major European manufacturer of luxury automobiles after a certain safety innovation, not patented for altruistic reasons. I wish, more companies would follow instead of suing each other about patents …)
  • Vision without action is a daydream. Action without vision is a nightmare.
    (Japanese proverb, as quoted in Civilization’s Quotations : Life’s Ideal (2002) by Richard Alan Krieger, p. 280)
  • Knowledge is now longer king. Instead, the application of knowledge in innovative ways is king.
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