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Evaluation and Control Program – Essential Organizational Behaviors
Effective evaluation and control programs rely on a set of underlying behaviors promoting continuous performance improvement. While positionally dependent, these behaviors foster the continuous identification and resolution of performance improvement opportunities and shortfalls.
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About the Author
Nathan Ives is a StrategyDriven Principal and Host of the StrategyDriven Podcast. For over twenty years, he has served as trusted advisor to executives and managers at dozens of Fortune 500 and smaller companies in the areas of management effectiveness, organizational development, and process improvement. To read Nathan’s complete biography, click here.
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Every organization is challenged by risks manifest through its many different day-to-day operations. To help monitor and manage these risks, most organizations employ groups providing performance and compliance risk assurance so that significantly adverse consequences are avoided. These groups typically carry out their function through the conduct of periodic, in-depth assessments of those areas representing the highest risk to the company. Such assessments are both costly and time consuming; their accuracy rapidly diminishing with the passage of time since the assessment’s performance.
Performance measures record specified outcomes achieved either at a specified time or within a defined interval and so, by their very nature, are time dependent. Consequently, a performance measure alters the behaviors of those being monitored not only in relationship to what is being monitored but also to when the outcome is being monitored.
Over time, organizational performance measurement systems can grow to include hundreds if not thousands of individual metrics. While each metric contributes some value in establishing the overall picture of performance, not all metrics offer equal value in doing so. Some metrics contribute so little value that they may be more costly and distracting than their value warrants. Consequently, executives and managers should consider eliminating these measures from the overall system.
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