Business Performance Measurement and Management
This page presents some of the issues relevant to Business Performance Measurement and Management and summarises the services offered.
More information can be found by clicking on the relevant button under the 'Approach and Products' heading in the menu.
Issues
All organisations recognise the importance of pro-active management of business performance. And most organisations will have business performance indicators and associated targets against which to monitor and manage the implementation of strategic goals or objectives.
However, in our experience the degree to which business performance is conducted is variable. Some of the business performance issues we have encountered over the last 15 years are as follows:
- No clear business strategy and/or a business strategy that is out of date
- Little understanding of the dynamic cause and effect relationships between financial and non-financial indicators of business performance and strategic goals/objectives
- Too many performance indicators
- Preoccupation with things that are easy to measure rather than what counts
- Too much focus on results rather than a balanced set of ‘leading’ and ‘lagging’ performance indicators
- Measurement of indicators that cannot be controlled or influenced. The National Audit Office identified this as a key issue in their report "Performance Framework and Board Reporting" dated 31 July 2009
- Confusion between performance indicators, information, activities/actions, and risks
- Unintended consequences - i.e., action taken to correct performance creating unforeseen problems for other parts of the business
- Projects that no longer underpin strategic imperatives
- No clear line of sight between strategy and individuals’ personal objectives and/or no formal process to cascade targets to achieve the required line of sight
Services
We have experience of working with clients to tackle all the issues listed above. The services offered are summarised below:
- Health check of your existing performance measurement and management framework/system
- Strategy development/review, as a pre-cursor to the development of performance indicators
- Review/design performance indicators, using a combination of an analysis of existing indicators, workshops, and interviews
- Systems Thinking modelling so that you get the full benefits from performance measurement and reduce the risk of unintended consequences
- Align projects to strategy - in other words check, that planned or existing projects support the strategic direction of the organisation
- Cascade performance indicators to create a 'line of sight' between the top of the organisation and staff at all levels
- Transition planning from the old to new measurement regime
- 'Critical Friend' advice - i.e., independent feedback on your existing performance management framework/system and any planned changes
- Training covering principles of performance measurement and management and Balanced Scorecard
If you have any questions, or would like to discuss how we might be able to help you, please send an e-mail to:
info@consulting4results.co.uk
© Copyright consulting4results Ltd 2010
© Copyright consulting4results Ltd 2010
Mission: deliver products and results; transfer skills
consulting4results is a Limited Company registered in England and Wales, Registration Number: 7139053. Registered Address: Countrywide House, 23 West Bar, Banbury, Oxfordshire OX16 9SA
