"It is important to realize that it is not the one measurement, alone, but its relation to the rest of the sequence that is of interest." (William E Deming, "Statistical Adjustment of Data", 1943)
"If we view organizations as adaptive, problem-solving structures, then inferences about effectiveness have to be made, not from static measures of output, but on the basis of the processes through which the organization approaches problems. In other words, no single measurement of organizational efficiency or satisfaction - no single time-slice of organizational performance can provide valid indicators of organizational health." (Warren G Bennis, "General Systems Yearbook", 1962)
"[...] long-range plans are most valuable when they are revised and adjusted and set anew at shorter periods. The five-year plan is reconstructed each year in turn for the following five years. The soundest basis for this change is accurate measurement of the results of the first year's experience with the plan against the target of the plan." (George S Odiorne, "Management by Objectives", 1965)
"[Management by objectives is] a process whereby the superior and the subordinate managers of an enterprise jointly identify its common goals, define each individual's major areas of responsibility in terms of the results expected of him, and use these measures as guides for operating the unit and assessing the contribution of each of its members." (Robert House, "Administrative Science Quarterly", 1971)
"A manager [...] sets objectives [...] organizes [...] motivates and communicates [...] measure[s] [...] develops people. Every manager does these thingsknowingly or not. A manager may do them well, or may do them wretchedly, but always does them." (Peter F Drucker, "People and Performance", 1977)
"The performance of profit center managers is [usually] measured over a moderate time span. The penalty for unsatisfactory absolute performance over the short-term is severe. The proper balance between known performance and potential future benefits is never clear." (Bruce Henderson, "Henderson on Corporate Strategy", 1979)
"Goals should be specific, realistic and measureable." (William G Dyer, "Strategies for Managing Change", 1984)
"Setting goals can be the difference between success and failure. [...] Goals must not be defined so broadly that they cannot be quantified. Having quantifiable goals is an essential starting point if managers are to measure the results of their organization's activities. [...] Too often people mistake being busy for achieving goals." (Philip D Harvey & James D Snyder, Harvard Business Review, 1987)
"How you measure the performance of your managers directly affects the way they act." (John Dearden, Harvard Business Review, 1987)
"Industrial managers faced with a problem in production control invariably expect a solution to be devised that is simple and unidimensional. They seek the variable in the situation whose control will achieve control of the whole system: tons of throughput, for example. Business managers seek to do the same thing in controlling a company; they hope they have found the measure of the entire system when they say 'everything can be reduced to monetary terms'." (Stanford Beer, "Decision and Control", 1994)
"A strategy is a set of hypotheses about cause and effect. The measurement system should make the relationships (hypotheses) among objectives (and measures) in the various perspectives explicit so that they can be managed and validated. The chain of cause and effect should pervade all four perspectives of a Balanced Scorecard." (Robert S Kaplan & David P Norton, "The Balanced Scorecard", Harvard Business Review, 1996)
"Measurement is often associated with the objectivity and neatness of numbers, and performance measurement efforts are typically accompanied by hope, great expectations and promises of change; however, these are then often followed by disbelief, frustration and what appears to be sheer madness." (Dina Gray et al, "Measurement Madness: Recognizing and avoiding the pitfalls of performance measurement", 2015)
"Many management reports are not a management tool; they are merely memorandums of information. As a management tool, management reports should encourage timely action in the right direction, by reporting on those activities the Board, management, and staff need to focus on. The old adage 'what gets measured gets done' still holds true." (David Parmenter, "Pareto’s 80/20 Rule for Corporate Accountants", 2007)
"Key performance indicators (KPIs) are the vital navigation instruments used by managers to understand whether their business is on a successful voyage or whether it is veering off the prosperous path. The right set of indicators will shine light on performance and highlight areas that need attention. ‘What gets measured gets done’ and ‘if you can’t measure it, you can’t manage it’ are just two of the popular sayings used to highlight the critical importance of metrics. Without the right KPIs managers are sailing blind." (Bernard Marr, "Key Performance Indicators (KPI): The 75 measures every manager needs to know", 2011)
"KRAs and KPIs KRA and KPI are two confusing acronyms for an approach commonly recommended for identifying a person’s major job responsibilities. KRA stands for key result areas; KPI stands for key performance indicators. As academics and consultants explain this jargon, key result areas are the primary components or parts of the job in which a person is expected to deliver results. Key performance indicators represent the measures that will be used to determine how well the individual has performed. In other words, KRAs tell where the individual is supposed to concentrate her attention; KPIs tell how her performance in the specified areas should be measured. Probably few parts of the performance appraisal process create more misunderstanding and bewilderment than do the notion of KRAs and KPIs. The reason is that so much of the material written about KPIs and KRAs is both." (Dick Grote, "How to Be Good at Performance Appraisals: Simple, Effective, Done Right", 2011)
"'Getting it right the first time' is a rare achievement, and ascertaining the organization’s winning KPIs and associated reports is no exception. The performance measure framework and associated reporting is just like a piece of sculpture: you can be criticized on taste and content, but you can’t be wrong. The senior management team and KPI project team need to ensure that the project has a just-do-it culture, not one in which every step and measure is debated as part of an intellectual exercise." (David Parmenter, "Key Performance Indicators: Developing, implementing, and using winning KPIs" 3rd Ed., 2015)
"Preparation precedes performance. When performance is measured, performance improves. When performance is measured and reported, the rate of improvement accelerates." (Thomas S Monson)
No comments:
Post a Comment