Principle Based Management™ is a framework based on the principles of human progress that enables individuals and organizations to succeed long term by creating superior value for others. Our emphasis on principles of human progress is certainly not new. But today’s world requires an even greater urgency and commitment to these principles, which, throughout history, have enabled individuals, organizations and societies to progress. When practiced and correctly applied, they promote peace, civility, opportunity, progress, fulfillment and business success. We have succeeded to the extent we have correctly applied them and failed when we haven’t. They apply universally, whereas detailed rules and methods only work in specific applications under certain conditions and even then tend to stifle motivation and creativity. For us, principles of human progress provide the standard by which we evaluate everything.
This is why we are changing from Market-Based Management® to Principle Based Management – to put even more emphasis on these principles. It is not enough to simply understand principles of human progress. They are central to our whole approach to business, so we continually strive to learn how to better apply them.
Thus, we have revised the five dimensions to better enable each of us to identify and close the gaps between what we are accomplishing in our organizations and what we could be accomplishing if we were more fully applying this framework. Included in what follows are explanations of the changes, descriptions of each dimension and a list of applicable principles.