Developed by: Oleg Cheremnykh, MBA. cheremnykho@cnt.ru

My corporate happiness blog

Mission Statement

The fundamental objective (raison d'être) of corporate happiness technologies is to help entrepreneurs (business owners), CEOs and top managers of business entities as well as founders, CEOs and top managers of government and non-profit entities worldwide to transform their companies into happy organizations by maximizing the aggregate value – financial, functional, emotional and spiritual – of these organizations to all their key stakeholders.

Corporate happiness technologies include the appropriate methodologies (Aggregate Value Maximization - AVM and object-oriented business engineering), tools (Aggregate Value Scorecards - AVS) and software (Corporate Value Scorebook - CVS) as well as relevant training, coaching and consulting services.

These technologies are described in more detail in the articles on the right and the comprehensive description of these technologies will be presented in detail in the upcoming book on corporate happiness and aggregate value maximization technologies

Corporate Happiness and Aggregate Value Maximization

These methodologies, tools and software are based on an observation that ‘corporate happiness’ is equivalent to maximization of the aggregate value of an organization in question to all of its key stakeholders – owners/founders, clients/consumers, employees, suppliers, partners, etc.

Indeed, an organization can be rightfully labeled ‘happy’ only if and when it satisfies aggregate needs - financial, functional, emotional and spiritual – of all of its key stakeholders (or, in other words, if and when it creates the maximum possible amount of aggregate value to its stakeholders).

Aggregate value is measured, managed and maximized using a system of the appropriate corporate performance indicators (CPI) - financial, functional, emotional and spiritual whose values need to be optimized to maximize the aggregate value of the company in question.

To make CPI values optimization feasible and convenient, they are structured into a system of Aggregate Value Scorecards (AVS) – for the company proper and its key business objects – business units/divisions, brands, products, clients and other stakeholders, etc. AVS system, in turn, is managed using the proprietary software product - Corporate Value Scorebook (CVS).

Transforming Your Company into a ‘Happy Organization’

As behavior, efficiency and, ultimately, value and happiness of any organization are determined by its focus, the first step in making your company substantially happier is to change its focus. In other words, to become a happy organization, your company needs to become a ‘happiness-focused organization’; ‘aggregate value-focused organization’ or ‘stakeholder-focused organization’ (which are essentially the same thing). It means, that the fundamental objectives of your company and your management system should be corporate happiness and aggregate value maximization.

The next step in making your company substantially happier is to determine how happy it is today and what needs to be done to increase its corporate happiness index. In other words, you will need to conduct a comprehensive ‘blitz-audit’ (from corporate happiness/aggregate value maximization perspective) using the questionnaire and manual available at the CHF Web site.

If necessary, this audit can be followed by a more detailed comprehensive business audit (which will require utilization of the CVS software) which will provide all information/knowledge you will need to conduct a comprehensive strategic corporate reengineering of your company to make it substantially happier and to radically increase its aggregate value to its key stakeholders.

About the Author

I am a strategic business management instructor consultant specializing in business valuation and business engineering. I have an M.S. in theoretical nuclear physics and a an MBA in Information Systems from the University of Texas.

Prior to becoming a freelancer, I worked for several years in a corporate finance department of a major European investment bank. I have published over 50 articles on various aspects of strategic business management and a book on strategic corporate reengineering.

Sincerely,

Oleg Cheremnykh

cheremnykho@cnt.ru

changed February 20, 2008