Shamapatni

We firmly believe that measurement is essential for good management as this helps management in executing the strategy and achieving the top & bottom line performance Lets understand the terms in simple language. Dashboards : Dashboard in simple term can be explained as “ Eyes on performance” It is a glance report which • Gives transparent view of Performance … • Helps in escalating abnormalities • Decision making @ working level … • Showcase Successes … Numbers: There the figures which depicts performance when measured against target/AOP Metrics: It is a standard of measurement by which efficiency & effectiveness of a process can be assessed. Metrics are calculated for both input (Lead) & Output (Lag KPI’s) Input KPI Out KPI Efficiency Material Volume Resource Time Cost Effectiveness Quality Defects Experience Perception CTQ’s: ”Critical to Quality are the key measurable characteristics of a product or process whose performance standards or specification limits must be met in order to satisfy the customer.” ( as per Wikipedia) Understanding above terms, Peter drucker has rightly said that if we cannot measure our performance, we will not able to manage the business. . A shopkeeper who is managing a shop also keeps a record of all transaction and analyse basis the numbers recorded. Eg he plans to buy the products basis the quantity left in his shop. And how much quantity is left is known to him basis his records. Same is true for any company as till the time they do not measure their performance, company cannot grow. However if all company have a measurement system, then all companies should flourish. But this does not happen. Reason: a) There are processes, transaction, work system whose efficiency/ effectiveness cannot be measured therefore in absence of their measurement, the management oversees these process. b.) What needs to be measured has to be properly identified. Metrics to be measured should be identified by applying any of the below simple methodology 1) Lead & Lag KPI’s ( basis efficiency, effectiveness & perceptions measurements) 2) Translating VOC/VOB into process lead & Lag KPI’s 3) KPI’s related to hidden cost Quote "It is wrong to suppose that if you can't measure it, you can't manage it. The most important numbers are unknown and unknowable" - Dr. W. Edward Deming Edward, as by this statement, is trying to highlight the hidden factory of KPI which are not measured and may bear high cost for correction when identified. Lets understand the complexity with an example. A proper BPMS was rolled out in a company which will work as a process repository and from where key metrics dashboards can be downloaded. It was launched with proper branding and training was given to all the employees in batches. Processes were uploaded in the system and links were shared. Post 6 month of launch, process team decided to measure the performance as this was one of the KRA item. Therefore they started flashing the No of Users KPI. To increase the number, team used to keep the follow and asked each employee to login once. This helped in achieving the KPI of % users of BPMS tool. However when audit was done , it was found that there was deviation in the employees process knowledge & process uploaded in BPMS tool. This was because no one took the pain of visiting and reading the process uploaded rather continued with earlier word version which were shared with them prior to launch of BPMS. This was a KPI which was never measured the other KPI measured gave the target achievement. CTQ and.docx

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