BBRT - Beyond Budgeting Roundtable The BBRT has identified a set of twelve principles (see below). The first six principles are concerned with taking the right leadership actions to address the drivers of change, and the second six align management processes with leadership actions. The contrasts in the table (i.e. the do’s and don’ts) show the differences in practice between the Beyond Budgeting and Command and Control models.
Leadership actions |
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| 1. Customers | Focus everyone on their customers, not on hierarchical relationships |
| 2. Processes | 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 | Create a high responsibility culture at every level, not just at the centre |
| 5. Transparency | Promote open information for self-management, don't restrict it hierarchically |
| 6. Governance | Adopt a few clear values, goals and boundaries, not fixed targets |
Aligning management processes with leadership actions |
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| 1. Goals | Set relative goals for continuous improvement, don't negotiate fixed contracts |
| 2. Rewards | Reward shared success based on relative performance, not fixed targets |
| 3. Planning | Make planning an continuous and inclusive process, not a top-down annual event |
| 4. Controls | Base controls on relative indicators and trends, not variances against a plan |
| 5. Resources | Make resources available as needed, not through annual budget allocations |
| 6. Coordination | Coordinate interactions dynamically, not through annual planning cycles |
These principles are closley inter-related and the actions of one have profound effects on others. Consequently adopting a few principles whilst ignoring the others could well lead to an unsatisfactory or even a failed implementation.