insedeR&D

Next economic reasoning system

Economic Value Architecture & EngineeringImaginary P&L and Imaginary Balance.

It is the theory which decides what can be observed.Albert Einstein, during Heisenberg's 1926 lecture at Berlin

INSEDE – (open) Institute for Sustainable Economic Development – www.insede.org – main@insede.org

Many of the patterns of nature we can discover only after they have been constructed by our mind.

Friedrich von Hayek

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

1. Stock exchange2. Enterprise potential

3. Communicating values and progress

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

2. Enterprise potential

3. Communicating values and progress

mat V[$]

Time

Stock exchange

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

2. Enterprise potential

3. Communicating values and progress

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

2. Enterprise potential

3. Communicating values and progress

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

2. Enterprise potential

3. Communicating values and progress

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

assets

Stock capit.

2. Enterprise potential

3. Communicating values and progress

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

2. Enterprise potential

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

M(tangible)

P&L

M(tangible)

Balance

classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

M(tangible)

P&L

M(tangible)

Balance

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

immat V

mat V

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

immat V

mat V

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

3. Communicating values and progress

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Intr

oduc

ing

axis

for

inta

ngib

les

Stock exchange

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

REV(Real Enterprise Value)

SPE(Shareholders Profit Expectation)

REV + SPE = TEV= Total Enterprise Value≈ |Shareholder Value|

Value Track over time(Ortskurve, REV)immat V

[i]

mat V [$]

mat V [$]

immat V[i]

mat V[$]

Time

Ic-Function

immat V

mat V

Str

uctu

re*)

*) As for example:BSC, EVA, BIG, UPR, B’E….

Intr

oduc

ing

axis

for

inta

ngib

les

M(tangible)

P&L

M(tangible)

BalanceI(intangible)

Balance

I(intangible)

P&L

How to explain?

Stock exchange

enhanced nonmonetary classic monetary

Economic Value Architecture & Engineering

© 2000/2012 Peter Bretscher, www.bengin.com peter.bretscher@bengin.com, www.insede.org, part of Business Engineering Systems, registered Copyright TXu 512 154 ecoval_pc000158_2012a_e.vsd

insedeR&D

Next economic reasoning system

Economic Value Architecture & EngineeringImaginary P&L and Imaginary Balance.

It is the theory which decides what can be observed.Albert Einstein, during Heisenberg's 1926 lecture at Berlin

INSEDE – (open) Institute for Sustainable Economic Development – www.insede.org – peter.bretscher@insede.org

Many of the patterns of economy we discovered after they have been constructed by our mind.