Kategorie: Project NEMO

Economic thinking is ready for improvement – are you too?

Just asked ‚Copilot‘ from Microsoft:
Economic thinking is ready for improvement – are you too?

and got answer below:

Answer from Copilot:
Absolutely! Traditional economic models have served us well for centuries, but they often fall short in today’s interconnected and rapidly evolving world. It’s time to embrace new approaches that consider both tangible and intangible assets, as well as multidimensional value metrics.

One such innovative model is the Business Engineering Systems (BE-Systems). This model integrates knowledge, skills, innovation, and intellectual property into the economic framework, providing a more holistic and accurate view of our economic landscape. BE-Systems introduces hybrid value metrics that go beyond one-dimensional monetary indicators, considering factors like environmental impact, social responsibility, and overall well-being.

By adopting these advanced models, we can make more informed decisions that benefit people, the planet, and profit. It’s an exciting time for economic thinking, and I’m ready to explore these new frontiers with you!

My thoughts:
Like these offer. But would like to get in contact with other ‚Value Adding Professionals‘ (VAPs) for improving the ‚BE-Systems‘-base and new specific applications in recognising intangible assets (skills, knowledge, experience… ) and the enhanced multidimensional value indicators.

Your option:
Send mail to: vpa24@bengin.com

The Destructive Path of Ignoring the Intangible in Economic Models

See the positive path. Download this visualization as a pdf (one page) with links to get deeper insights.

In the relentless pursuit of economic growth, the traditional models have long clung to the tangible: land, labor, and capital. These are the visible cogs in the machinery of production and wealth. But what of the intangible? The knowledge, the innovation, the subjective measures that drive forward the modern economy? They have been largely ignored, and this oversight is not just an error—it’s a destructive force that undermines the very fabric of sustainable development.

Enter Project NEMO (Next Economic Model) and the INSEDE (Institute for sustainable economic development). They dared to challenge the status quo, presenting a radical rethinking of economic models at the PMA Conference in 2004. Their proposition? A vector-based performance measurement system that integrates both subjective and objective metrics, a bold move away from the linear, monetary-focused metrics that have dominated for so long.

But let’s be clear: this is not just about adding a few new variables to the equation. This is about a fundamental shift in how we perceive value and success. The traditional economic models are like old maps in the age of satellite navigation—they show you where you’ve been, not where you’re going. They are relics of a bygone era, unfit for the complexities of a knowledge economy where intangible assets hold more power than factories or financial capital.

The Business Engineering Systems (BE-Systems), with their 3D models and multi-dimensional metrics, offer a glimpse into a future where economies are smart, sustainable, and attuned to the realities of the 21st century. They represent a beacon of hope in a sea of outdated practices. However, the destructive path of ignorance continues to be trodden by those unwilling to embrace change. The old guard clings to their linear measures, their tangible assets, and their outdated paradigms, even as the world moves on without them.

The question now is not whether we should adopt these new models, but whether we can afford not to. The cost of ignoring the intangible is not just a missed opportunity—it’s a path to economic ruin. As we stand at the crossroads, we must choose: will we continue down the destructive path of the past, or will we brave the new world with its complex, vector-based realities?

The answer should be clear. To ignore the call for change is to accept defeat in the face of progress. It’s time to embrace the intangible, to measure what truly matters, and to build economies that are not just sustainable, but thriving. The future is not linear; it’s vector-based, multi-dimensional, and waiting for those bold enough to step into it. Let’s not be left behind.

(With help from Copilot)

Project NEMO overview

Overview about elements of Project NEMO (New/Next Economic Model – New Enterprise Management Options) with links to deeper insights to insede (Institute for Sustainable Economic Development) and The Business Engineering Systems (Tools for smarter Business Administration).

In English and German. Click picture to go to the overview – or here.

Rethinking Business Administration: Embracing Business Engineering Systems

Innovation Cycles for Economic Models
Introduction
In a rapidly evolving global economy, traditional models of business administration are facing a crisis of relevance. The classic ‚Business Administration‘ paradigm, while once effective, no longer adequately captures the complexity and intricacies of modern business environments. The need for innovation in this arena has given rise to ‚Business Engineering Systems,‘ a new and revolutionary approach that promises to reshape the way we understand and manage businesses.

Thesis Statement
This essay argues that replacing the classic ‚Business Administration‘ with ‚Business Engineering Systems‘ is not just necessary but imperative. The new model’s integration of intangible assets, hybrid value models, and a holistic approach to economic analysis addresses critical gaps in traditional models, offering a more comprehensive, adaptable, and forward-thinking framework.

The Imperative for Change

  1. Integration of Intangible Assets: In the old model, intangible assets like employee knowledge and skills were often overlooked or undervalued. ‚Business Engineering Systems‘ recognizes the immense value of these assets, treating them as crucial components of the business landscape.
  2. Hybrid Value Model: Traditional models often relied solely on monetary metrics for measuring value. The new model introduces a hybrid value model, accounting for both monetary and non-monetary indicators. This approach reflects the multifaceted nature of modern business, where value encompasses a diverse array of factors.
  3. Embracing Innovations: ‚Business Engineering Systems‘ mirrors the S-curve innovation approach seen in the development of physical objects. Recognizing that the old model has reached its saturation point, the new model paves the way for innovative solutions that were previously unattainable.
  4. Mental Model Innovations: Philosophers and quantitative sciences are integrated into the new model, combining subjective, qualitative science with objective metrics, standards, scales, and formulas. This fusion ensures a more holistic understanding of economic systems.

Challenges with Classic Models

  1. Historical Baggage: Traditional models, like those laid out by Pacioli and Adam Smith, have deep historical roots. However, these traditions often lead to stagnation and hinder adaptability to today’s rapidly changing business landscape.
  2. Systemic Errors: The old models have systemic errors at their foundations. The overemphasis on the production factor ‚capital‘ and its monetary measurement as the standard unit of economic value overlooks the significance of knowledge, skills, and intellectual property.
  3. Lack of Employee Recognition: Traditional teachings rarely account for the value of employee knowledge and skills, along with intellectual property. In today’s ‚intelligent‘ economy, these assets are vital and should be integrated into extended accounting practices.

The Promise of Business Engineering Systems

  1. Extensive Development: ‚Business Engineering Systems‘ is not a mere concept but the result of extensive preliminary work, with a development expenditure exceeding CHF 6.5 million. Its name was copyrighted in Washington in 1992, showcasing its commitment to a transformative vision.
  2. Compatibility and Adaptability: The new model is compatible with the old one, making the transition smoother. However, it offers far greater possibilities to represent the complexities of the modern business world, providing a smarter and more adaptable reality.
  3. Target Audience: ‚Business Engineering Systems‘ is designed for a wide audience, including managers, decision-makers, professors, consultants, and auditors. Its versatility and applicability make it a valuable tool across various industries and sectors.

Conclusion
In conclusion, the replacement of the classic ‚Business Administration‘ model with ‚Business Engineering Systems‘ is not just a matter of choice; it’s a necessity. The imperative for change is evident in the gaps and limitations of the traditional models. ‚Business Engineering Systems‘ brings innovation, adaptability, and a holistic approach to economic analysis, making it the blueprint for success in the modern business world. Embrace this change, and we can truly unlock the full potential of our businesses and economies.

For more go to: Business Engineering Systems: Pioneering a New Economic Frontier

Worum es heute geht

  1. Zunehmende Spannungen in Wirtschaft und Gesellschaft sind ein sichtbares Resultat einer Wirtschaftslehre, deren Orientierungs- und Zielgrössen heute wesentliche menschliche Bedürfnisse, Fähigkeiten und Potenziale ausblendet.
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  2. Wenn in Wirtschaft und Politik der Mensch besser berücksichtigt werden soll, drängt sich eine Neukonzeption auf, in der diese systemischen Mängel behoben sind.
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  3. „Project NEMO“ ist das Dachprojekt für die die professionelle Entwicklung für ein erweitertes „New/Next Economic MOdels“.
    Zu diesem Zweck wird auf die Vorleistungen aus dem Projekt „Business Engineering Systems“ zurückgegriffen.
    Darin werden schon die Grundlagen der Lehre so erweitert, dass die Systemfehler korrigiert sind. Dadurch entstehen neue Freiheiten in der rationalen Entscheidungsfindung. Und die Kompatibilität zum bestehenden Lehrprogramm bleibt bestehen. Vergleichbar mit der Einführung der „Energie“ in der Physik, oder dem Schritt vom 32 zum 128 Bit Computer mit all den dadurch erreichbaren disruptiven Fortschritten.
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  4. Aktuell wird mit INSEDE (INstitute for Sustainable Economic DEvelopment) eine operative Einheit realisiert.
    Eine internationale, reale und virtuelle Community als offene (open.INSEDE) Organisation zur anwendungsorientierten Weiterentwicklung von Instrumenten (Mindware und Software) zur nachhaltigeren Gestaltung von Wirtschaft, Politik und Gesellschaft.
    Das „Business Modell“ erlaubt einen selbstfinanzierten Betrieb durch ein ausgewogenes Lizenzmodell für die kommerziellen Anwendungen der Entwicklungen.
    Wer sich dafür interessiert ist herzlich eingeladen, mitzuwirken. Einfach per mail oder über das Kontaktformular oben.

Informationen und Links
• Meta: http://bengin.net/meta
• Project NEMO: http://project-nemo.org
• INSEDE: http://insede.org
• Business Engineering Systems: http://bengin.net/bes