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From performance management for control to performance management for learning

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Learning vs Control in Performance Management

smartKPIs.com Performance Architect update 28/2010

The following is an excerpt from a conference paper presented at the 2009 Performance Measurement Association Conference in Dunedin, New Zealand. An edited version of the paper was published in the Measuring Business Excellence Journal in 2010 (vol. 14, No. 1), under the title: “Rediscovering performance management: Systems, learning and integration“.

Enterprise Performance Management – State of the art

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Enterprise Performance Management - State of the art

Performance Management is one of the most dynamic business disciplines today. Its evolution accelerated over the last 20 years and due to the large number of concepts it employs and unstructured body of knowledge, having a comprehensive view of the current state of  its  evolution is rather challenging.  One way of achieving this is by monitoring the pulse of the discipline as reflected in studies and survey reports covering performance management topics (Brudan, 2010).

Benchmarking, Rank Xerox and Canon

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Benchmarking

smartKPIs.com Performance Architect update 24/2010

Benchmarking as a management concept is reported to have its roots in land surveying, where the altitude of objects is estimated based on a pre-established point of reference on an arbitrary landmark (McNary, 1994). Frederick Taylor is reported to be the first to use benchmarking along with other principles in a business enterprise to improve performance. Elements of benchmarking can be recognized in Taylor’s scientific management approach applied during his time at Bethlehem Steel Company (McNary, 1994), popularized in “The Principles of Scientific Management” .

“The truth about Performance Management” … as revealed by a SAS survey report

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The truth about Performance Management

According with a 2007 SAS report on performance management issues, alignment is the most important benefit of performance management efforts. The report was based on survey data gathered online from 1143 respondents from cross-industry organizations across the globe (SAS, 2007). The report presents a detailed picture over the use of performance management tools, frameworks, systems and practices in the worldwide organizations.

Among the most important findings that were outlined from the survey (SAS, 2007) are:

• Performance Management practices have spread over most of the organizational functional areas. According the SAS survey findings, the operations function is most likely to drive the effort followed closely by the finance and human resources departments.

• Even though most of the performance management practices are multi-departmental, only a third of them are aligned across all departments.

• Most companies are looking for performance management initiatives that could boost their competitiveness.

• Cultural resistance, the human factor, is the primary factor to achieving performance management success.

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