Beyond Budgeting Transformation Network Master Courses

© 2008 - Niels Pflaeging - Gebhard Borck www.bbtn.org

Make it real!

>beyond budgetingtransformation network.

“Beyond Budgeting”

Master Courses

Get to know the BBTN’sunique course programs

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The BBTN was founded in early 2008, order to take the Beyond Budgeting movement to a new level.

The reason: As understanding of the emerging new model has become more wide-spread, we believe now is the time for gathering organizations around the world, independent of their size, industry or location, to make it real. The commitment of the BBTN thus is to continue the Beyond Budgeting movement in a way that is consistent with the need for practical transformation.

The BBTN´s vision is: “The Beyond Budgeting model is the standard management model.” Transformation, in consequence, is for everyone. Period.

Our mission is to help organizations to transform their management models from command & control to beyond budgeting, in order for them to sustain superior competitive success. The BBTN is the most important platform for achieving transformation and improving the model.

This brochure outlines the BBTN´s proprietary worldwide “master course” offerings, which are a stepping stone to achieving transformation, in practice. An overview over the three courses currently offered by the BBTN is shown on the right. All courses are designed to provide specific support for people who want to learn more about how to make it real. You can access full information about all course programs on www.bbtn.org.

bbtn coursesAbout the BBTN

Program 1:PrinciplesMaster Course

Program 2:Transformation

Master Course

Program 3:Cell StructureDesign Course



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course concept

The group meetings.

Achieve mastery in the Beyond Budgeting modelas a participant in highly interactive group meetings, during three full days, with up to 5 other top managers, presidents or business owners.

In a high-trust setting, participants grapple with the 12 principles of the Beyond Budgeting model and with how they can use the principles to improve their businesses. They share hard-earned expertise and newly minted ideas, in order to reach better solutions for their organizations.

Each meeting is professionally facilitated by an expert in Beyond Budgeting, who guides both the content and flow to ensure that every member receives the maximum return on the time they invest.

The group meetings entail candid give-and-take, where trusted peers ask each other tough, in-depth questions that get to the heart of any business problem. As part of these meetings, members receive direct and honest feedback, and derive actionable ideas that they want to and are expected to implement. From the experts, members also learn strategies and fresh perspectives that they can immediately apply to their businesses.

This awaits you:

• 3 days of serious fun. You can expect a smart, profound, emotional and mind-boggling quest, set over a period of 3 to 5 months

• Let’s get intimate. Max. group size is 6 participants.

• Meetings are hosted by participants

• Look forward to: Fresh ideas and upsetting visions for your organization. If you are not willing to develop a fresh idea or vision for your organization: Don’t come.

Your course stewards:• Niels Pflaeging is a BBTN Director, and president of

MetaManagement Group, a consulting firm based in Sao Paulo, Brazil. Niels´ second book “Leading with flexible Targets. Beyond Budgeting in Practice” was awarded with the 2006 Financial Times Germany Best Business book award. Prior to co-founding the BBTN, he was a director with the prestigious BBRT.

• Gebhard Borck is a BBTN director, and president of gberatung, a consulting firm based in Pforzheim, Germany. Gebhard develops and applies change management and group communication methods based on his experiences on how change really works. He is widely regarded as a frank and practical consultant. One who calls a spade a spade.


Make it real!



Principles Master Course

Learn how to apply the 12 principles of the model, in any given organization


Make it real!


“Do you really need management? I mean: really?”

You may think: ‘WHAT? These guys want to sell us company owners, CEOs and top managers a course – and the way they do it is to outright question management? They can’t be serious!’But YES, that's exactly what we want to do. And we mean it! Decades of little or no meaningful improvement in the way organizations around the world are managed should make us wonder. The question“Do we need management at all?” is not just a fair one. It is the question. We have dedicated more than 10 years of research to the problem. We have come up with thrilling, attractive and tantalizingly answers. An appetizer? Take this: ‘Management has been outsourced a long time ago! Yours, too.’Welcome to the Principles Master Course.



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It is crucial to Beyond Budgeting that it is not based on rules, but on principles. Unlike other management concepts, Beyond Budgeting is neither a tool, nor is it a one-size-fits-all solution. It is a model, and a mindset.

The difference between rules and principles is that for setting up rules, you need to analyze every possible situation before facing it. Rules are based on a “If-this-happens-do-that” logic. Whenever an unknown situation occurs, rules fail. They just don't support you in finding good solutions to never-before-thought-of problems, as they occur regularly in your everyday work life.

Principles, by contrast, don't just apply to known problems. You don't need to be aware of all possible situations. You adopt them to whatever situation while they are happening. Principles are like guidelines that help you testing whether your actions are aligned with your principles, or not. If not, you have to search another way to solve the problem. Understanding this difference, you are able to adopt Beyond Budgeting principles to your firm or to situations you encounter at your work –anywhere, at all times.

Still, we have learned that it needs some practice to understand the combination of the principles of the Beyond Budgeting model. This is because the model is based on a set of 12 coherent principles, and only applying the full set of principles will reward your organizations the superior results the model offers.

To get you practicing the model, in the context of your work, we designed the Principles Master Course.

course idea

A model based not on rules,

but on principles.

The Principles Master Course:The key to creating high-performance organizations lies in 12 principles…



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program

1. Choose the principle you are most interested in.

2. Think it through for your existing organization. Evalu-ate upsides & downsides, together with the group.

3. Interconnect it with the other principles.

4. Exercise to design solutions that provide coherence of the model.

5. Support another participant to do the same.

The 12 principles of the model.

1. Customers - Focus everyone on their customers, not on hierarchical relationships

2. Organization – Organize as a lean network of accountable teams, not as centralized functions.

3. Autonomy - Give teams the freedom and capability to act; don’t micro-manage them.

4. Responsibility – Enable everyone to think and act like a leader, not merely follow ‘the plan’.

5. Values – Govern through a few clear values, goals and boundaries, not detailed regulations.

6. Transparency - Promote open information for self management; don’t restrict it hierarchically.

7. Goals - Set relative goals for continuous improvement; don’t negotiate contracts.

8. Rewards - Reward shared success based on relative performance, not fixed targets.

9. Planning - Make planning a continuous and inclusive process, not a top-down annual event.

10. Controls - Base controls on relative indicators and trends, not variances against plan.

11. Resources - Make resources available as needed, not through annual allocations.

12. Coordination - Coordinate interactions dynamically, not through annual planning cycles.


Make it real!


Transformation Master Course

Learn to lead your organization in transformation,applying the Double Helix Framework



Make it real!


“Leadership model transformation is like making wine.

Managers who operate by metrics, paperwork, and numbers might say: ‘OK, we’ve analyzed wine. It has sugar in it. It has pulp. It has yeast. It has grapes.’ So, they'd dump those ingredients in a pot, stir it, drink it, and say, “but this doesn’t taste like wine!” and wonder why.

It’s because the wine had to go through a process. They may have had the components right, but they overlooked the principles for transforming grapes and water into wine.

Want to know how to make superb organizational wine?”Welcome to the Transformation Master Course.



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The Transformation Master Course:Understand how “Change” and “Double Helix Transformation” differ.

Double Helix Transformation is the answer to the question: “How can we maturate to become a Beyond Budgeting organization – just like grapes mature into wine?” The course was developed to help you change from hierarchical command and control to Beyond Budgeting. Based on the assumption that the world has already changed, the challenge is to “get even” with reality for good, instead of repeatedly designing fantasies about how to make the old model work again.

The Double Helix Transformation Framework (DHTF)is a new approach that allows firms to change their management model in an coherent way, to align with Beyond Budgeting principles. Transformation is not just another change initiative – it is the ultimate challenge to become fit for the knowledge economy.

Check out how and why to do DHTF, for it is not just a method or a set of workshops. It means adopting a new mindset. To make it work, you need to under-stand the differences between DHTF and other change approaches. Find out why change should be situational, why it needs a “zone setting” and no milestones to get it done, and how change becomes true for all people involved – without planning by a small group of powerful players and subsequent rollout. Experience a thrilling and outstanding quest into understanding the obsta-cles you face in a Double Helix Transformation. Find out how this is about “change forever” and different from “make some corrections here, refit something there!”

course idea

stop painting over what's

long broken…

…startlooking at new

possibilities!



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program

1. DHTF - what it is and why it is the correct approach to become a Beyond Budgeting organization.

2. Tools and methods - which strongly differ from traditional approaches.

3. Your reality - adapt the DHTF to your organization.


Differences between traditional change and the Double Helix approach.

Traditional change focuses on:• managing a structured, linear process,• thinking through all steps & solutions in a small group,

before confronting all others with the actual problems,• avoiding conflict & confrontation, by negotiating

compromises up-front, before really facing the conflict,• “convincing” employees,• having only a small group that is aware of the project's

big picture,• making big changes (e.g. software investments) right

at the beginning of the initiative, in order to build up pressure during the process.

Double Helix Transformation focuses on:• awakening and communicating purpose, to make the

organization as a whole responsible for its reality,• making everyone the offer to join in, by making a

strong case for change,• letting people decide individually (over and over again)

about them taking part in the changes, and facing the consequences out of their decisions,

• giving emotions room, so that fear, euphoria, anger, skepticism and fun can be expressed and not being prevented,

• making everybody understanding the big picture, before asking to take action, or to make fundamental changes,

• letting people change their own organizational structure and processes.


Make it real!


Cell Structure Design Course

Learn to develop a devolved cell structure for your organization



Make it real!


“The notion of dividing an organization…

…into functions, and then departments, is fundamentally flawed. Dividing a firm like that, you actually impede work flow, build organizational territories, and drive out initiative and entrepreneurial thinking.

You knew all that already? Good!

Now, the real news is: There is an alternative.One that is tried and tested. One that really works.”

Welcome to the Cell Structure Design Course.



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The Cell Structure Design Course:Imagine your firm as a network of cells, instead of relying on hierarchy…

Highly devolved organizations are not structured hierarchically. In fact, since hierarchies don’t accept any other rulers but the management, or “bosses”, radical decentralization is not possible within structures based on power relationships and hierarchy. Although it is well known that many organizations are ruled by informal networks the common way to make people responsible is by giving them a leading position.

However, Beyond Budgeting organizations want to achieve something entirely different: They want everybody in a company to be and act responsible, in order to increase the value and wealth. Therefore, a Beyond Budgeting organization never believes in hierarchy, but in empowerment. The best known and successfully practiced way to organize empowerment in an organization is by turning it into a network of cells.

Learn how to create cells (instead of departments) which are capable to interact situational and don’t need orders to be controlled - just market pull. Create a network of these cells that makes business simple and straight as you ever wanted it to be.

Find sexy solutions for never-before-solved problems in your organization, together with your peers, and within a small group setting. For this, we have designed the Cell Structure Design Course!

course idea

stop thinking like this…

…start thinking like that!



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program

1. Think about a problemwithin your organization for which you lack a solution.

2. Imagine possible solution scenarios with the other participants.

3. Exercise to design a working cell structure for your problem.


Some guidelines to creating a working cell structure

What characterizes a “cell”, within the new model?

• It contains several functions, roles and duties, which would traditionally separated into different departments, divisions and areas. A cell integrates functions and roles!

• It offers and sells products and/or services on its own, and is completely independent in its decisions about them.

• It is customer focused, as it responds only to internal or external clients, not to hierarchy.

• It is held accountable by the group leadership and is responsible for it’s own value-creation.

• It applies the 12 Beyond Budgeting principles.

What characterizes a truly networked structure?

• It gains stability not through power relationships, but by the “pull” from the “market”, and it is not resistant to pressure.

• It is transparent, through open information systems.

• It shows its internal interactions in a simple manner, based on “market” and “pull” relationships.

• It creates a shared understanding of the “inside”“outside” relationships of the organization.

• It doesn’t bother with hierarchy, but with value creation streams, based on networking patterns.

• It applies the 12 Beyond Budgeting principles.



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Signing up: You can participate ……as a manager/owner:

– Pay a fixed price of EUR 1.800,00 (plus VAT where indicated) - just EUR 600,00 per program day!

– Be available to host one course day

…as a privateer:– Pay as you see fit! (you determine the value)– Submit us a good reason why you should partici-

pate in the program. We reserve the right to accept or deny your participation, without justification.

– Be available to host one course day

…as a client:– If you are a transforming client or Beyond Budgeting

consulting client, participation is free.– Be available to host one course day.

Who should participate:

• You are a top manager, president, company owner or leader from any kind of industry or organization.

• You have a serious interest in understanding “how deep the rabbit hole goes“. In other words: to learn the nuts and bolts of what the Beyond Budgeting model has to offer to you and your organization.

• You have a basic knowledge of the model, and it means more to you than just being a topic for coffee-break small talk.

participation

Sign up now!Or get in touch with the BBTN for further information on this course offering.


sign up now!

I confirm my participation in the following course. Please get in touch with me about dates and locations!�

! Principles Master Course ! Transformation Master Course ! Cell Structure Design Course

Name, First Name:

Firm:

Street, Nr.:

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I will participate as a: ! manager/owner ! privateer ! client (If “privateer”, please indicate above your reason to participate)

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>beyond budgetingtransformation network. Sign up for the course, by mailing us this subscription form!

• By email to [email protected] or [email protected]

• Through the BBTN website registration

Gebhard BorckBBTN & gberatungFritz-Neuert-Str. 13a, 75181 Pforzheim - [email protected] Skype: gborck www.gberatung.de

Niels PflaegingBBTN & MetaManagement GroupAl. Santos 1.991, 01419-002 São Paulo – SP, [email protected] Skype: npflaeging www.metamanagementgroup.com