How to ensure successful performance measurement

How to ensure successful performance measurement

successful performance measurement

Focus on performance measurement

Organizations today face complex business challenges. Over the last several years, the economy has forced many organizations to address the difficult decision of achieving business results with fewer resources.

The new reality in today’s difficult economic times requires that organizations put significant focus on performance measurement. The key to achieving an effective program requires having a conceptually sound business framework that links and integrates strategy, management processes, and comprehensive metrics to an effective process for continuous improvement.

Successful performance measurement systems – systems that energize and actually do what they’re supposed to do, which is boost performance – is often hard to find.

Do a little performance measurement of your own

Assess it against this checklist.


By integrating the elements from the checklist, your organization can implement a performance measurement program that focuses all levels of the organization on mission achievement, and continuous improvement.

The result is a high performing organization with the following benefits:

Focuses on results

Performance measurement focuses employees on achieving the organization’s goals and bottom line results by paying close attention to the mission, objectives, and outcomes of the organization. But do remember that there is a fine line between good stretch targets, which can energize an organization, and bad ones, which can dampen morale.

Develops a culture of accountability

When goals and objectives are aligned with organizational responsibilities, management can hold people accountable for their work. As the organization focuses on achieving results and monitoring measures that demonstrate progress toward results, accountability becomes a part of the organization’s culture.

focus on performance measurement.

Aligns all organizational activities with the overall goals of the organization

Effective performance measurement helps ensures that all organizational activities support the overall mission and business objectives by always linking actual results to plans at all levels of the organization.

Provides a common language for success

The performance measurement process provides a common language for everyone in the organization. This common language is represented by the various metrics that are utilized to measure progress against mission, goals, plans and budgets.

Simplicity applies to measurement

Jack Welch, the former chairman and CEO of General Electric once quipped:

Simplicity applies to measurement … Too often we measure everything and understand nothing

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About The Author

Torben Rick

Experienced senior executive, both at a strategic and operational level, with strong track record in developing, driving and managing business improvement, development and change management. International experience from management positions in Denmark, Germany, Switzerland and United Kingdom

Blog Comments

TRUE-THAT… the balance scorecard requires that each employee be given a performance plan that aligns with strategic intent and requires measurement of employee performance against established performance metrics.

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