Monday, 3 August 2015

15 Tips for Measuring Performance

Whether setting out to measure your company’s performance or to measure your potential to improve¹ remember that performance measurement is not a ‘one size fits all’ approach. These tips are relevant to whatever approach you adopt:


  1. Develop a measure that suits your industry
  2. Keep measures simple - do not make an industry out of it!
  3. Agree measures with business leads and stick to them
  4. Prioritise and weight the keystones² according to their relevance to your business
  5. Do not use subjective measures i.e. do not ask managers to rate an area between 1 & 5 where 1 is no evidence, 2-3 is some evidence, 4 is compliant and 5 is best practice
  6. Do use objective measures - this will ensure unprejudiced answers
  7. Set a benchmark for Good Practice or Business as Usual
  8. Don't overreact if parts (or all) of your business are below the benchmark - Continuous Improvement cannot start until you have a measure to improve upon
  9. A low score is not an indication of an underachieving department - it is an indicator of where your resources will best e deployed
  10. Accept that some areas for improvement are a low priority for you - focus your efforts where they are most needed
  11. Don't set unrealistic improvement (stretch) targets
  12. To achieve improvement targets you'll need to develop at least a 5 year plan
  13. Use the knowledge that already exists in your business to drive 'quick wins' (further posts will show how this can easily be achieved)
  14. Consider letting Business Unit/Operational Leads set their own improvement targets
  15. When you have results ask the Business Unit/Operational Leads where they want to improve: the quickest wins will be found by matching existing knowledge with the demand for knowledge


This link will take you to a downloadable version of these tips (you may need to open in google Chrome to access)


https://drive.google.com/file/d/0B7SbEtX1W8rGRVRub29lVUI0N2s/view?usp=sharing

Please feel free to comment and contact me if you would like further information.

¹ Carl Hayward, The Value of Measuring Continual Improvement across your Whole Organisation, (https://drive.google.com/open?id=0B7SbEtX1W8rGZEllbnNZQUJ6czQ), 22 Jul 2015
² Carl Hayward, The 11 Keystone to Improvement, (https://drive.google.com/file/d/0B7SbEtX1W8rGdVVheDluUGREdzg/view?usp=sharing), 13 Jul 2015

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