1. Build a governance framework based on clear
principles and boundaries.
2. Create a high-performance climate based on the
visibility of relative success at every level.
3. Provide front-line teams with the freedom to
make decisions that are consistent with governance
principles and strategic goals.
4. Place the responsibility for value-creating decisions
on teams.
5. Focus teams on customer outcomes.
6. Support open and ethical information systems.
Going beyond budgeting provides benefits for shareholders,
too. It addresses two primary issues investors
face. The first is whether they believe an organization will
produce sustainable growth in shareholder wealth. The
second is whether they trust the management team.