Can a Business Performance Management Process that measures outcomes increase business knowledge and its value and vice versa?

imagePeople who make things happen,need rules. Sticking to their knitting is one.  Those who don’t fail trying to do all things for all people.

They also need to be clear about what they don’t know and find people who do. The rule for handling things that they don’t even know they don’t know is to leave it to others.

I was in a company last month that has about 1000 employees. As a business consultant the job I had was improve the performance management process. So my knitting so to speak is to setup up the process for planning and controlling the business. This includes getting numbers lined up in their processes that show where it is heading and how it is tracking . Knowing what everyone does or knows is not the key. Knowing what they delver is.

A useful definition if try to stick with is "work is only work when the output is accepted by a customer”. In other words going to work is an enigma. It is activity driven by an external event that demands an outcome. For example you get an order then you work to fill it,

In the end we just need to look at the expected outcomes and measure what drives them. If you know the number of orders and what skill are needed to do the man-hours to deliver them you know how many people you need to do the work. I am sure is not more complex than that. The interpreting a trading statement of a KPI measure becomes second nature.

What do you think?

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