Financial capital accounts for 15% of Economic Productivity Growth or E.P.G. In this regard, it is interesting to note that our economists have never sought out the other capital ingredients. We did and here is what we found.
The other 85% of E.P.G. is accounted for by human and organizational processing ingredients. Defining capital as “most important,” we have defined these ingredients as “The New Capital Development Components” of Free Enterprise.
In other words, the means to accomplishing The Freedom Functions are The New Capital Development or NCD Components:
- MCD—Marketplace Capital Development or Marketplace Positioning;
- OCD—Organizational Capital Development or Organizational Alignment with MCD Positioning;
- HCD—Human Capital Development or Empowered Human Processing to implement OCD Alignment;
- ICD—Information Capital Development or Information Modeling to implement HCD Processing;
- mCD—Mechanical Capital Development or Mechanical Tooling to implement ICD Modeling.
Together, these Components define the New Capital Development required to achieve and elevate The Freedom Functions.
We may view the levels of NCD Components in Figure 3. As may be noted, the U.S. rates at or near the highest levels of all of these NCD Systems:
- MCD Positioning driven by Generative Marketplace Positioning (Level 5);
- OCD Alignment driven by Marketing Systems (Level 4);
- HCD Processing driven by Inputting Systems (Level 4);
- ICD Modeling driven by Vectorial Systems (Level 4);
- mCD Tooling driven by Operational Systems (Level 5).
Figure 3. Levels of NCD Components (2000)
Together, these NCD Components provided the U.S. with the New Capital it requires to achieve and elevate The Freedom Functions. The robustness of NCD Components was an accelerating variable for generative leadership in the 21st century.