Performance Measurement & Benchmarking
'Positioning' is about understanding where you fit in relation to the external factors that influence the organisation in the market place. Positioning largely determines revenue. 'Capability' is about understanding what you do internally to deliver your 'Positioning'. This determines your costs. Performance measures continually need to measure aspects of both Positioning and Capability. The measures should give you a firm grip on where you are now, enable you to define where you want to be and then track that you are on course on your chosen journey. The mix of measures, the weighting to apply to each one, the frequency of measurement and the actions to come back on course will be unique to your organisation. The art is to achieve the right balance of measures across Positioning & Capability. Our approaches to Performance Management deliver that outcome.In terms of performance measures, companies are usually in a state of either feast or famine. Famine occurs when financial measures are the main or only criteria for monitoring progress and decision-making. Starved of non-financial information, managers are denied the means of assessing and improving operational performance. A feast occurs when organisations measure everything, the humdrum along with the critically important. But uncovering the right information can prove an invaluable spur to dramatic performance improvement. We build performance measurement systems, such as the balanced scorecard, that focus on those aspects of performance that support strategic objectives. We help everyone understand their role in achieving those objectives. We advise clients on developing mechanisms for measuring performance, for assessing the measurements they take and for deciding what actions are needed. Benchmarking is an enticing concept, but takes much more effort than the unwary expect. We establish benchmarking programmes, advising our clients of the most suitable approach from the many that can be used. We collect and analyse benchmarking data to identify priorities for change and improvement opportunities.