Knowledge Sharing

Balanced Business System
By Vadim Kotelnikov, Inventor & Founder, Ten3 BUSINESS e-COACH – Innovation Unlimited!

Why Balance?
Balance is about how you live your life and manage your business and people.
Finding the right balance in your your life and your business will help you refine your goals and hasten you towards them.

What is Business Systems Approach?
A business is more than finance. Performance measures need to be aligned with the organization's strategy.
The Business Systems approach considers business as system of interrelated factors of strategy, owners, investors, management, workers, finance, processes, products, suppliers, customers, and competitors.
Organizations prosper by achieving strategy that is implemented as a result of continuous decision-making at all levels of the business. Firms implement strategy through balancing the four major factors or perspectives:
Financial perspective
Customer perspective
Internal business process perspective, and
Learning, innovation and growth perspective.
The four perspectives permit a balance between short-term and long-term objectives, between outcomes desired and the performance drivers of those outcomes, and between hard objective measures and soft subjective measures.

The Growing Role of the Business Architect
In today's knowledge- and innovation-driven complex economy, business architects are in growing demand.  They are cross-functionally excellent people who can tie several silos of business development expertise together, create synergies, design winning business model and a balanced business system and then lead people who will put their plans into action...

Achieving Strategy through Balancing Competing Values
The primary goal of any business is to increase stakeholder value. It is achieved through a dynamic balancing of competing values. In order for a business to maximize economic value, it must balance customer satisfaction and competitive market forces with internal cost and growth consideration.

Balanced Scorecard
The Balanced Scorecard is a framework for designing a set of measures for activities chosen by you as being the key drivers of your business.
By having four distinct perspectives (financial, customer, internal process and innovation and learning) it promotes a more holistic view of the business.

Customer Perspective
Customer is defined as anyone who receives that which is produced by the individual or organization that has value. A customer focus - as opposed to "customer driven" or "market driven", - both internal and external, implies that you don't just respond to what customers say they need and want, but you apply your own body of knowledge acquired from years of experience and study, in addition to your best knowledge of the customer, to deliver a product or service that will exceed customer expectations, achieve delighted customers and lead to customer success.