Performance Pyramid
From Wikireedia
(Difference between revisions)
| Line 1: | Line 1: | ||
| − | Cross and Lynch 1991 | + | Cross and Lynch 1991 viewed businesses as performance pyramids |
[[File:cross&lynch1991.gif|Cross and Lynch 1991]] | [[File:cross&lynch1991.gif|Cross and Lynch 1991]] | ||
* Objectives are top down and measurements are top up | * Objectives are top down and measurements are top up | ||
| − | * Quality and delivery should equal Customer satisfaction | + | * Quality and delivery should equal Customer satisfaction but watch that Reducing costs do not lead to a fall in staisfaction |
| − | * The left side | + | * The left side are ''external'' influences and the right is ''internal'' |
| − | * | + | * It starts at the ''individual'' level all the way to ''corporate'' level |
* Provides a more integrated approach than [[Fitzgerald and Moon]] | * Provides a more integrated approach than [[Fitzgerald and Moon]] | ||
* Focuses on the right priorities | * Focuses on the right priorities | ||
| Line 12: | Line 12: | ||
Also look at http://www.accaglobal.com/publications/studentaccountant/43909 | Also look at http://www.accaglobal.com/publications/studentaccountant/43909 | ||
| − | Performance measurements Benefits and Problems | + | ==Performance measurements Benefits and Problems== |
| − | * | + | * Develops agreed Measures |
| − | * | + | * Clarifies the Objectives of the Org |
| − | * | + | * Greater understanding of Process |
| − | * | + | * Helps faciitate comparison between divisions |
| − | * | + | * Promotes Accountability to stakeholder |
| − | * | + | * Helps sets Targets for managers |
| − | Problems | + | ==Problems== |
| − | * Tunnel Vision - | + | * Tunnel Vision - Undue focus on measurements to the detriment of other areas (e.g Doctors must see a patient in 48 hours) |
* Sub-optimizatoin - focus on one measurement to the dertiment of others | * Sub-optimizatoin - focus on one measurement to the dertiment of others | ||
| − | * Myopia. | + | * Myopia. Focusing too much on short-term measures and not looking looking long-term |
* Measurement fixation- meeting student quotas but leading to higher drop out rates | * Measurement fixation- meeting student quotas but leading to higher drop out rates | ||
* Misrepresentation - Not presenting the data correctly | * Misrepresentation - Not presenting the data correctly | ||
* Mis-intrepreting the data - | * Mis-intrepreting the data - | ||
| − | * | + | * Ossification - keeping of out of date measures |
| − | Stakeholders | + | ==Stakeholders== |
Who are they, how many, what to they want, do they wan the same things, whats the time frame | Who are they, how many, what to they want, do they wan the same things, whats the time frame | ||
[[Category:Operations]] | [[Category:Operations]] | ||
Revision as of 14:31, 10 October 2011
Cross and Lynch 1991 viewed businesses as performance pyramids
- Objectives are top down and measurements are top up
- Quality and delivery should equal Customer satisfaction but watch that Reducing costs do not lead to a fall in staisfaction
- The left side are external influences and the right is internal
- It starts at the individual level all the way to corporate level
- Provides a more integrated approach than Fitzgerald and Moon
- Focuses on the right priorities
Also look at http://www.accaglobal.com/publications/studentaccountant/43909
Performance measurements Benefits and Problems
- Develops agreed Measures
- Clarifies the Objectives of the Org
- Greater understanding of Process
- Helps faciitate comparison between divisions
- Promotes Accountability to stakeholder
- Helps sets Targets for managers
Problems
- Tunnel Vision - Undue focus on measurements to the detriment of other areas (e.g Doctors must see a patient in 48 hours)
- Sub-optimizatoin - focus on one measurement to the dertiment of others
- Myopia. Focusing too much on short-term measures and not looking looking long-term
- Measurement fixation- meeting student quotas but leading to higher drop out rates
- Misrepresentation - Not presenting the data correctly
- Mis-intrepreting the data -
- Ossification - keeping of out of date measures
Stakeholders
Who are they, how many, what to they want, do they wan the same things, whats the time frame
