Replacing administration with capital management

| Total Words: 775

Enterprises have a large sums invested in the capital that is utilized in performance, to achieve objectives. Most enterprises dont even know the extent of what this capital is. There is no manageable organization of enterprise performance capital. People talk of intangible assets like there is a black hole someplace with all that performance capital that we dont understand.

So much of our capital is not recognized as something of worth. Much capital is not documented or under management control. Performance capital is created day in and day out without being recognized as something of worth that should be managed and made available to improve enterprise performance.

Most enterprises have no idea about managing capital. They may have an assets register and make some attempt at understand utilization of assets and think of this as managing capital. Capital is put under management control by assigning it to a responsibility center. This actually removes capital from management control for the benefit of the enterprise. Typical responsibility center managers do not perceive any responsibility for managing capital. They are not in a position to manage capital that is...

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