A - ANALYSIS (The Diagnosis)

The Analysis stage is the foundation of AresPraxis™. It answers the two most important questions: Where are we? and What does it cost?

Traditional management fails because it operates with a dual blindness:

Measurement by Inertia: KPIs that measure activity (Output) but hide the real impact (Outcome).
The Blind Budget: Costs assigned by departmental silos, disconnected from the real operation.

This page details the two AresPraxis™ frameworks designed to cure this dual pathology.

T-P-E-R™: The Architecture of Performance

The first step is to cure the "pathology of measurement." The T-P-E-R™ framework is not just another KPI; it is an engineering filter that validates indicators. An indicator is only accepted into our architecture if it is:

Traceable (Linked to the source, e.g., SCADA).
Proportionate (Measures Outcome, not just Output) .
Evaluative (Has G/A/R thresholds that trigger decisions) .
Replicable (Standardized and auditable) .

In the Trenches: The "Active Equipment" Pathology

A tactical dashboard I audited proudly displayed "Active Rigs: 10/10." A "Green" KPI. However, production had collapsed. Upon investigation, we discovered that those 10 "active" rigs (the Output) were operating at 20% of their efficiency . The dashboard measured activity, not impact. It was a vanity metric hiding a disaster. The first step to cure this was applying the T-P-E-R™ filter.

AresABC™: The Architecture of Cost

The second step is to cure the "blind budget." The AresABC™ (Activity-Based Costing by AresPraxis™) framework dismantles the financial silo.

The principle is simple: Activities consume resources.

Instead of allocating $1M to the "Maintenance Department," AresABC™ follows the money and links the cost to the activity (e.g., "Corrective Maintenance") and the cost object (e.g., "Pump X"). This way, Finance and Operations finally speak the same language: the language of "activity cost."

In the Trenches: Operating without Visibility

During the budget formulation process, a Logistics Department based 100% of its budget on "last year's historicals + 10%."

When I asked them, "What is your most profitable route?" or "How much does a failed delivery actually cost you?" the response was absolute silence. They had no idea. They were allocating millions of dollars while "operating without visibility." Implementing AresABC™ was the act of turning on those lights for the first time.

The Complete Diagnosis

By combining T-P-E-R™ and AresABC™, the analysis is complete . We no longer have a vague "Yellow KPI"; we have an actionable governance signal:

"The availability failure on Pump X (detected by T-P-E-R™) is costing us $50,000 per hour (calculated by AresABC™)."

Now that we have a prioritized and costed portfolio of problems, we are ready for the next stage.

Explore THE RISK

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