Using Performance Measures
If the performance measurement system has been
properly designed, developed, and implemented, managing the
process and using the measurements should be a relatively easy
task. Although some resistance may be encountered initially,
this may be overcome through additional communication and fine
tuning of the measurements. One should remember that
organizations don't resist change, people do, and the key to
overcoming resistance was back in the design and development
stage. By involving those who will be measured early on in the
process, and allowing them to provide input to the process,
ownership is developed. Few employees will resist a program that
they actively participated in developing.
The second major key to overcoming resistance
to performance measurements relates to the earlier comment
regarding accountability vs. responsibility. As defined by
Webster:
• "Responsibility implies holding a specific
office, duty, or trust
• "Accountability suggests imminence of
retribution for unfulfilled trust or violation of obligation
..."
• "Liability stresses the fact of subjection to
review, censure, or control by a designated authority ..."
If we hope to hold an organization accountable
or liable for the performance of a process or function, then that
organization must also be responsible for the major factors that
impact that process. Control over one's destiny is key to
motivation. If I don't feel that I can reasonably control the
outcome, I will resist any effort to hold me accountable for the
process. If, however, I am given responsibility for the key inputs
to the process, then I can be held accountable and liable and the
measurements become part of the job contract that exists between a
subordinate and superior.
Depending on the management style prevalent in
the organization, it may be appropriate to post the results of all
measurements in conspicuous areas to be reviewed by all employees.
Doing so both generates peer pressure to perform, and facilitates
management by wandering around (MBWA).
It is worth noting at this point that we should
be focusing on performance of the process, not the performance of
an individual worker. The ultimate goal here is to optimize our
performance to the Critical Success Factors, evaluation of
employee performance is a separate issue entirely.
Figure 3.
One final note, when setting goals for
performance improvement, the need for small incremental
improvements should be balanced with the possibility of dramatic
changes to generate dramatic results. It is often worthwhile to
set targets that may at first seem completely unrealistic (ie, to
reduce defects by 95%). Doing so forces us to view the process
from a completely fresh perspective, perhaps to find a whole new
way to accomplish the objective, as opposed to looking for small,
detailed improvements to the process. Each method has its place,
just as both the short pass and the long bomb have
their place in football.
Summary
There are seven basic steps to managing through the use of
Critical Success Factors:
1. Identify the organization's goals and objectives
2. Identify the organization's CSFs
3. Identify performance measures appropriate to the CSFs
4. Allow user input to the measurement process
5. Establish responsibility and accountability
6. Provide the tools required to perform the task
7. Get out of the way—allow the employees to
perform It has been said that how we behave is dictated by how we
are measured. While "dictate" may be a strong word,
certainly most of us would agree that performance measures can be
used to encourage and reward positive behavior, that is, behavior
that supports the organization's goals and objectives. The key,
then, is to identify the factors most critical to the success of
the
enterprise and the performance measures most
appropriate to these success factors.
Stated another way; you cannot effectively manage that which
you cannot measure and the key to successful management is
focusing on what will make you successful: Critical Success
Factors.
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