The article discusses how water resources are managed in the Heihe River basin. A new two-dimensional model is developed to better account for human activities affecting the water cycle. The key principles for real-time water allocation include long-term planning, balancing short-term needs, making decisions in real-time, and adjusting results as needed. The study demonstrates this approach in the Heihe River basin, showing how it can be applied in arid regions like North China.