Business Cube Logics (BCL) is a framework designed to provide a holistic and systematic view of business operations, enabling rational management and decision - making. Here are its main aspects:
Based on Business Engineering Principles
BCL is grounded in the principles of Business Engineering, which uses an engineering - like approach. It aims to create a basic, holistic, integrative, and systematic framework for business management. This approach borrows elements from conventional engineering, such as frameworks, principles, guidelines, and systematic methods, to deal with the complexity of business.
Structural Components
It consists of cube structures, principles, rules, and logics. Specifically, it contains 3 cube wireframe structures (Company Cube, Market Cube, Regional Economic Cube) and 1 square pane structure (Global Trend Pane).
The Company Cube has 8 elements like Capital, Asset, Sales, etc., representing the capacity and capability of an enterprise. The Market Cube also has 8 elements including Player, User, Price, etc., indicating the market situation. The Regional Economic Cube has 8 elements such as Standard of Living, Technology, GDP, etc., reflecting the macro - economic environment. The Global Trend Pane has 4 elements to define the global trend.
There are a total of 28 elements in these structures, which label the vertices, and 49 relations in total. These relations, formed by connecting two elements, represent meaningful business activities, elements, or statuses, such as Price - Cost indicating the Possible Margin.
Business Analysis and Forecasting
BCL contains business reasoning logics for various aspects like the efficiency of business processes, financial index analysis, strategic planning, and market trend forecasting. For example, it can be used to analyze the potential of a business from the perspectives of profit and volume, and to assess the risks and opportunities in the market.
It also employs a color - signaling method to represent the status of elements and relations, which helps in visually analyzing and forecasting specific business scenarios.
Integration of Business Elements
It integrates internal and external environmental factors in a macro - micro rationale. The framework's panes and cubes cover different levels of business environment, from the micro - level financial status of an enterprise to the macro - level global economic environment. This integration helps in understanding how different factors interact and impact business operations.
Support for Strategic Positioning
BCL helps in strategic positioning through concepts like the P&V (Profit - Volume) Strategic Positioning Concept. Enterprises can use the different combinations of P and V to determine their relative strategic positions and make strategic plans accordingly.