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About the Author ix
Preface xi
Introduction xix
Profit Is Not a Dirty Word But Value is Much Cleaner 1
Is profit the best way to allocate scarce resources? 1
Profit can be a very emotive word 7
The Microsoft Paradox 11
Not-for-profit? Does that mean not-for-value? 17
Profit is an increasingly unpopular king 22
Value -- A Very Slippery Word Indeed 29
Defining value 29
A working definition of value 34
Basic value 37
Moving on to added value 41
Private equity partners -- value adders or asset strippers? 44
The value motive already exists 47
Value as a distillation process 51
Declaring value in a public statement 54
The value agenda 62
A value statement for a commercial company 63
A value statement for a public sector organization 68
`Intangibles' confuse the issue of added value 71
This Powerful Motive Force We Call Value 77
Harnessing the power of motive 77
Value means output, not input 80
Defining value as an economic system 85
Does the capitalist system deliver the best value? 88
When we say value we should really mean it 92
A holistic value system for everyone 96
Value Has to Be the Raison D'etre for Every Type of Organization 101
All value is good 101
Value is the raison d'etre of all organizations 103
Corporate social responsibility (CSR) and the `triple' bottom line 106
Social enterprise 117
Is the public sector an obsolete construct? 120
Organizational Performance Measurement Has to Measure Value 127
Turning human activity into value 127
The advent of the scorecard 130
The EFQM business excellence model 134
Agreeing value priorities using the 3 Box System 136
The gulf between performance measurement theory and practice 142
Activity, performance and added value measures 150
Taking a fresh perspective on the purpose of performance measurement 153
Measuring and managing `intangibles' 156
E-valu-ation 161
Value is Essentially a People Thing 167
A fresh approach to people management 167
Measuring the value of people 171
Debunking the employee--customer--profit chain theory 176
Replacing performance management with value management 178
Managing value holistically 185
Valuing people `intangibles' 187
The People Measurement `Box' 193
Only meaningful measures count 193
People measurement is a really serious matter 199
Does diversity add value? 205
Human capital management, a revolution in management thinking 210
People -- are they personnel, human resources, assets or capital? 214
Human capital measures and indicators of value 216
How the Value Motive Could Upstage the Profit King 223
The value motive is leadership 223
The politician's definition of value 231
The first, second and third sectors have to become one 236
Value special cases and dead losses 241
Value management education 245
Auditing the value motive 249
A new management discipline -- valuing the human contribution 252
Index 259
이용현황보기
In this climate, the solution is to refine the profit motive, not replace it. We all value things, and we’re all motivated by what we value. If value could replace the profit motive, it would reconcile the interests of CEOs, shareholders, citizens and government. Profits would still rise but at the same time society would gain value. This book is a call to manage for maximum value – to follow The Value Motive.
Kearns Endorsements
"In 'The Value Motive,' Paul Kearns clarifies the confusing concept of 'value' and shows how it can be used to transform thinking and action in organizations. Paul's books are always stimulating and controversial, and this one is no exception. If you are interested in creating more value in your organization and willing to have your existing mental models challenged, then you should read this book!" —Dean Spitzer, Performance Measurement Thought Leader, IBM Research, and author of "Transforming Performance Measurement" USA
"I have worked with a host of HR professional over the years. To date I know of noone that compares to Paul when it comes to presenting the issues and challenges of managing human capital and providing practical approaches for doing so. Like his past books, The Value Motive, brings clarity to a world of HR, which often is filled with disarray and recommendations that tend to be driven by political correctness rather than by the intent to produce value. Paul's discussion of value as a driving force in organizations (in addition to profit) brings together the worlds of for and not for profit organizations. It also provides an overarching theme that includes the best interest of all stakeholders, customers, community and shareholders alike. This certainly represents a very much needed approach." —Finnur Oddsson, Ph.D., Director of MBA Programs & Executive Education, Reykjavík University, Iceland
"This is a timely, forward-looking, and convincing exposition delving into why value is a better determination of sustained ROI than profit. Paul provides simple, yet valid methodology regarding how much value is added by any organizational activity. His writings are a must for anyone measuring the true effectiveness of people development, an organization’s primary value-added activity." —Tery Tennant, Attainment, Inc, USA
New feature
Wrong. Profit can be a powerful motive, but is not always used responsibly and, in the worst cases, this can have adverse effects at a wider level (think CFCs). The calls for a corporate conscience are growing louder, but no one has yet suggested an alternative to profit that the majority find anything like as compelling. Profit is here and now. In this climate of confusion, the solution is to augment the profit motive, not replace it. To refine it so that it enriches society both materially and spiritually. To create The Value Motive.
We all value things. And we’re all fired up by what we value. Value is personal and thus a powerful force for motivating people – who are the engine of any organization. If value could replace the profit motive, it could reconcile the interests of shareholders, CEOs, citizens and government. Everyone would pursue value as part of a whole. This book is a call to manage for maximum value, and offers an alternative to the profit motive without replacing it. Profits still rise using the value motive, but society gains more value.
The profit motive has served us well for many years; The Value Motive is the next step.
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