Wednesday , January , 24 , 2018
The Institute Way Blog
Let’s say our organization needs to buy a fleet of vehicles and we have two procurement teams. We tell team 1 that we want quiet, blue, four-door, fuel-efficient cars. We tell team 2 that we want world-class, high-quality, great-value, high-performing cars. Then we give both teams a few weeks to find their vehicles. Guess which team will be able to produce measurable results?
Complacency is a big reason why useless KPIs stay. A sense of urgency is what’s needed to spark the change to better KPIs. But it must be authentic, and speak to the head and the heart.
KPIs have a bad reputation, from bad pasts experiences people have with them. But we can’t let their reputation become the truth about them.
Let’s get right to the point: if you have to ask how to measure the impact of an initiative, it means you got things back to front.
Asking “how do you measure the impact of an initiative” means you don’t already know what the measure is. Obviously. But it can also mean you don’t even know what the impact should be.
And that means you chose...
As part of the KPI Basics series of content we are developing as part of the launch of the KPI.org website, I thought I would introduce the different types of key performance indicators. As I describe in the accompanying video, we like to use a framework called the Logic Model to describe the first four types.