Saturday, January 17, 2015

Executive Summary

 Every organization (business, government, NGO, academic, etc.) wants, can and must make a quantum leap in its corporate performance (ideally – maximize its corporate performance) and to implement a kaizen – continuous improvement system (to operate at maximum performance at all times)

To facilitate this quantum leap for any company worldwide, the corporate world needs a revolution in corporate management, management consulting, information – and knowledge management technologies and in management education

Tools, technologies and products for this revolution (corporate cockpit technologies) have finally arrived

Two software giants – Microsoft and Oracle – have sufficient motive, means and opportunity to commence this revolution, lead it and bring it to successful completion

Therefore, this corporate cockpit revolution is inevitable

Every organization will be designed, built, managed, analyzed and improved as efficiently as a fighter aircraft

All corporate management education programs and activities will be built around the Comprehensive Body of Managerial Knowledge (CBMK) and the global CBMK Portal (‘MBA Killer’)

This revolution will result in a significant consolidation of all industries (those who will make a quantum leap will acquire or drive out of business those that won’t)

Many new industries will quickly emerge, created by startups which will – thanks to a corporate cockpit revolution - now have a much higher survival rate

 Global industries and markets for corporate computing, management consulting and management education will merge into a single market – for comprehensive solutions for quantum leap and kaizen systems

Every entity (business, government, NGO, etc.) will be transformed into a happy organization
Corporate cockpit revolution will significantly increase global economic growth, drastically reduce unemployment and will make it possible to prevent financial and economic crises

Corporate cockpit technologies and its owner - leader of the corporate cockpit revolution - will become a dominant force (and in many ways a natural monopoly) in global markets for corporate computing, management consulting and management education

Principals of the Corporate Cockpit Revolution

1.      Corporate cockpit tools and technologies are a natural monopoly in three lucrative markets – corporate computing (knowledge management and corporate processes automation), management consulting and management education

2.      These three markets will ultimately merge into a single lucrative market – for comprehensive quantum leap and kaizen solutions

3.      Therefore, the owner of corporate cockpit methodology tools, technologies and products will become a natural monopoly (and thus a dominant force) in this very lucrative market

4.      To become such a dominant force, however (which will require making the corporate cockpit revolution happen), the company in question must possess and extraordinary muscle in sales, marketing and software development – as well as an extensive network of partners (systems integrators) that will form the backbone of the new strategic management consulting industry

5.      There are only two such companies in existence today – Oracle and Microsoft – and no third company is going to ‘join this club’ in the foreseeable future. Only these two companies have the motive, means and opportunity to become the principals, the leaders, the spearheads of the corporate cockpit revolution

6.      Each of these companies has one more – and very powerful incentive to start this revolution, lead it and to bring it to a successful completion – the unified market for comprehensive quantum leap and kaizen solutions will generate enough cash flows to make either of these software giants #1 in market capitalization in the world

7.      Microsoft is much bigger in terms of sales, profits, cash flows, market cap, etc. and already has an experience of becoming a natural monopoly (in operating systems and office software products); however, Oracle (unlike Microsoft) can offer truly comprehensive solutions (which include hardware systems as well)

8.      Therefore, at this time one can not say for sure which company will become this natural monopoly and the dominant force; we only know that one of them surely will

9.      As I have mentioned before, neither Microsoft nor Oracle would even try to develop basic methodology, tools and products for this revolution internally; instead, either of them will acquire (in an M&A transaction) the company that has developed these methodology, tools and products; and then will integrate them into their products and services (or develop new products based on these technologies)

Birth of a New Natural Monopoly

1.      Corporate cockpit methodology, tools and technologies are based on the object-oriented Organization Description Language (ODL). Object-oriented approach proved to be superior in software engineering and information systems engineering and now it proves to be far superior in engineering and reengineering organizations

2.      ODL was specifically designed to become a universal corporate language that will make employees from different functional areas in the organization (finance, marketing, IT, HR, etc.) understand each other and work together efficiently and to make managerial skills easily transferrable from one type of organization (business, government, NGO, academic, etc.) to another

3.      Therefore, having two or more such languages totally defies the very purpose of the universal language project. Besides, such breakthroughs as the universal business description language, are always made by committed entrepreneurs who spend years and even decades on inventing, developing and perfecting such tools

4.      Therefore, it will be far more practical and realistic for any individual and organization to adopt ODL and ODL-based tools and technologies rather than to try to develop alternatives. Which makes ODL and corporate cockpit a truly natural monopoly

5.      ODL allows to put together a comprehensive Standard Corporate Objects Repository (SCORE) that will contain standard objects and processes (based on best business and corporate management practices) for all types of organizations (business, government, NGO, academic, etc.) and all industries. All business and organizational systems then will be assembled (engineered) by selecting and putting together the right objects

6.      From compatibility standpoint (both internal and external), it makes no sense to have more than one SCORE. Therefore, the latter will become a natural monopoly as well

7.      As it makes no sense whatsoever to have two or more corporate knowledge management and process automation systems based on the same SCORE (it will be far more practical to use one such system and to contribute to its development), it will make such system (Enterprise Objects Management System) an automatic natural monopoly

8.      The whole purpose of the CBMK Portal project (the ‘MBA Killer’) is to create a single corporate management knowledge base to be used by all entrepreneurs, managers, consultants, investors, educators and students and in all management education programs. Therefore, it will make no sense to have more than one such knowledge base and portal (which will automatically make both of them very natural monopolies)

Revolution in Corporate Management Paradigm

1.      Entrepreneurs, corporate managers, consultants and educators will view any organization (business, government, NGO, etc.) as conceptually similar to an aircraft

2.      An aircraft is made of physical components – engine, wings, landing gear, radar, etc. An organization is made of corporate objects – products, brands, assets, business units, etc.

3.      In order for an aircraft to operate at its maximum performance, it has to be lean and agile (contain only those components necessary and sufficient for maximum performance); in order for an organization to operate at maximum performance, it also must be lean and agile

4.      In order for an aircraft to operate at its maximum performance, (1) each component must do the same and (2) all components must fit together perfectly. For an organization to operate at its maximum performance, (1) each corporate object must do the same and (2) all objects must fit together perfectly

5.      Aircraft components are involved in a number of physical processes. Likewise, corporate objects are involved in a number of corporate processes. For an aircraft to operate at its maximum performance, all of its processes must do the same. For an organization to operate at its maximum performance, all of its corporate processes must do the same

6.      An aircraft undertakes flights (or sorties - for a military one). An organization undertakes corporate projects. Civilian aircraft hauls passengers – or cargo for its owners. An organization works for its clients (customers)

7.      An aircraft can not operate without satisfying the requirements of its stakeholders – airport officials, government regulators, fuel suppliers, etc. Likewise, an organization has to satisfy the needs and requirements of its stakeholders – suppliers, partners, etc.

8.      Military aircraft has adversaries – enemy aircraft, AA guns, surface-to-air missiles, etc. And every organization has competitors – businesses compete for their clients’ money; government entities – for budget funds; non-profits – for donations

9.      An aircraft is flown by pilots, navigators and other crew members and serviced on the ground by technicians. An organization is managed by executives, middle managers and supervisors and ‘serviced’ by professionals (specialists)

10.  To maximize aircraft performance at all times, pilots and technicians must measure the performance of each key aircraft component and process, of an aircraft as a whole and take corrective action – if necessary To maximize corporate performance at all times, corporate managers and specialists must measure the performance of each key corporate object and process, their synergy (‘quality-of-fit’) of an organization as a whole and take corrective action – if necessary

11.  To measure the performance of aircraft components and processes, pilots use the corresponding performance indicators (PI). Likewise, to measure the performance of corporate objects, processes and their synergy, corporate managers and specialists use the corresponding key performance indicators (KPI)

12.  Aircraft performance is measured using performance checklists, scorecards and dashboards; the corporate performance is measured using corporate performance questionnaire,  scorecards and dashboards

13.  In an aircraft, values of PI are visualized on a computer screen in a ‘glass cockpit’. In an organization, KPI values are visualized on a computer screen (‘corporate cockpit’) in front of the manager or specialist responsible for the object or process in question

14.  A ‘glass cockpit’ of an aircraft gives the pilot access to all knowledge and tools he/she needs to pilot the aircraft in the most efficient way; a corporate cockpit gives the corporate manager and specialist pilot access to all knowledge and tools he/she needs to manage objects in his/her responsibility areas in the most efficient way

15.  An aircraft is engineered using the most advanced aerospace engineering methodology; an organization will be engineered using the most advanced corporate engineering methodology (Organization Description Language - ODL)

16.  An aircraft is engineered using the blueprints developed by CAD/CAM software systems; an organization will be engineered using the corporate engineering software

17.  An aircraft is assembled from components, many of which are standard and based on the best technological achievements; an organization will be assembled from standard components based on the best corporate management practices

18.  An aircraft is piloted using a comprehensive aircraft knowledge management and process automation system; an organization will be run using a comprehensive corporate knowledge management and corporate processes automation system (Enterprise Objects Management System - EOMS)

19.  To operate at maximum performance at all times, an aircraft must undergo continuous minor and periodic major upgrades. To operate at maximum performance at all times, an organization must undergo continuous improvement and periodic reengineering

20.  This ‘aircraft paradigm’ – implemented in specific methodology, tools, technologies and software products – will solve all the problems that make the ‘corporate cockpit revolution’ inevitable and thus will make this revolution very, very successful

Friday, January 16, 2015

New White Paper Cover Page


Revolution in the Global Economy

1.      Corporate Cockpit Revolution will result in a significant consolidation of every major industry. Those fast enough to make a quantum leap in their performance, will either acquire the slower rivals – or drive the latter out of business

2.      Human, financial and other resources made available as the result of this consolidation, will move to new industries and niches (including breakthrough technologies) identified and developed by now substantially more efficient entrepreneurs and startups

3.      Radically more efficient education and training programs (managerial and professional) will make no less radically easier for individuals to adapt to new jobs, organizations, industries, marketplaces and even countries

4.      Corporate cockpit revolution will make the global economy (as well as the individual ones) radically more transparent in terms of the needs (financial, functional and emotional) of individuals, households and organizations.

5.      This transparency will allow businesses, government entities and NGO/NPO to identify, understand and satisfy these needs much better than they do now. Making individuals, households and organizations much happier than they are today

6.      Corporate cockpit revolution will radically increase performance of organizations worldwide; which, in turn, will no less radically improve the efficiency of utilization of global resources – financial, material, human, etc. Which will automatically produce a very powerful (and very positive) effect on our environment

7.      Radical improvement in satisfaction of needs of individual and a drastic reduction of waste of valuable resources will no less radically increase economic value, created in the global economy. In other words, the GDP worldwide. In still other words, it will speed up economic growth worldwide

8.      Significant increase in economic growth combined with a radically more efficient government system will eliminate chronic budget deficits (without harming the economy or quantity & quality of services provided by the governments) and use the resulting budget surplus to bring currently skyrocketing government debt to manageable levels

9.      Reduction of waste and a radical increase in performance means that organizations will have more financial resources to expand their operations. Which means that they will need more employees. And more employees means less unemployment. Worldwide.

10.  A radically more transparent economy and radically more efficient organizations (businesses, government entities, NGO/NPO, academia, etc.) will make it possible to develop and implement safeguards that will prevent financial and economic crises

Revolution in Management Education

1.      Corporate cockpit revolution will cause a skyrocketing demand for business- and corporate engineers. Which will cause a no less skyrocketing demand for education and training in business engineering. Which, in turn, will inevitably lead to a proliferation of classes and programs in business engineering in business schools, universities, training companies and the like

2.      Corporate cockpit revolution will cause a no less tectonic shift in corporate management mentality. All management and specialists – regardless of the type of an organization (business, government, NGO, etc.) and the functional area (finance, operations, personnel, IT, etc.) will think in a uniform way – in terms of business objects, processes, KPI, performance maximization, CBA and SCR

3.      This paradigm shift will inevitably cause a fundamental restructuring of corporate management curricula worldwide. Now all management programs and classes – in general management, finance, operations, IT, etc. will be structured around this ‘corporate cockpit’ paradigm

4.      This fundamental restructuring will allow to develop a truly comprehensive centralized Comprehensive Body of Managerial Knowledge (CBMK) structured around CCTT and implemented as a globally accessible Web site (CBMK Portal). CBMK will be based on best management practices worldwide and will serve as both a management tutorial and a reference book for corporate managers and specialists

5.      CBMK will be a live system based on the kaizen – continuous improvement principle and therefore will constantly evolve based on feedback from CBMK users – managers, professionals, investment analysts, management instructors, consultants, etc.

6.      CBMK will serve as a global central repository of managerial knowledge. Therefore, it will be used by all entrepreneurs, managers, specialists, consultants, investors, educators, students, etc. worldwide. Therefore, every corporate management education establishment will have to integrate its programs and classes with CBMK

7.      As CBMK will be (a) truly comprehensive and (b) based on the truly best corporate management practices worldwide, no manager, specialist, educator and the like could afford not to use it.

8.      Therefore, CBMK will create a truly global corporate management community of entrepreneurs, managers, specialists, investors, consultants, investment and commercial bankers, educators, students and the like