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IUMBER tOC EXOTre*

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Vendor Perfo

DROOF of Performance or the I Absence Thereof: that's what you get with well-defined performance measures.

Properly constructed, performance measures describe targeted outcomes in both quantitative and qualitative terms, permitting a fair and objective

By Francie M. Dalton

assessment of performance as an organization moves from its Current State to Desired State. As a result, rather than speaking of what "seems to be so" or how one "feels about" the performance of a department, colleague or vendor, performance measures provide objective, evidence-based mea- sures of performance.

Establishing valid performance measures isn't easy. But the investment pays tremendous dividends. Individuals can prove their value to organizationsl managers can justify rewarding/trimming staff; performance reviews can be more factual and less emotional, and firms can clarify the value they deliver to employees. customers and shareholders.

There are three elements to effective performance measures: goals (the results to be achieved), objectives (the ways in which goals will be achieved), and action plans (the tactical steps necessary to achieve each objective).

Each element must be stated in terms that are measurable, achievable and time specific. No single element should be more than a sentence, and each statement should refer to a single event or occurrence.

Here are the five most common mistakes when providing solutions:

1. Miror" of Adjectives

"Excellent," "top quality," ('appropriate" and cost effective" are examples of this common error in crafting performance measures. "Conduct an excellent annual conference" can only be subjectively assessed.

The technique for correcting this kind of error is the use of a "FIB"-or "fil l-i n-the-blank" - question ro improve clarity. Ask, "Our annual meeting will have been excellently conducted when it _____?" "Our product will be 'top quality' when it Or "We will know that our product is 'top quality' when

2. Mir,rr" of Verbs "Promote," "support," "improve," "educate," "coordinate" and "attend" are examples. "Attend the XYZ meeting on March l" is not an outcome. Warming a seat is not an accomplishment. The technique for correcting this kind of error is to ask "why" regarding the verb. Ask, "Why am I attending the XY Z meeting?"

^l J. Misused Prepositions

This error usually occurs within a goal statement and usually involves the use of the word "through," "to" or "by." Remember, goal statements are "what" statements; they specify the result or outcome to be achieved-not how it will be achieved.

Including words like "through," "to" or "by" often results in the combining of a goal statement with an objective statement. "Survey all members of X group by April I to determine their priorities" exemplifies this error. The goal here is to determine the priorities of X group members; the survey is the method by which the data will be acquired.

A {. Misused Comparison Words

Words such as "more," "increase," "decrease," "expand," "reduce" and "improve" should not appear in performance measures unless the implied baseline is also stated.

Instead of "Achieve a l07o increase in attendance at the 2005 conference," include the baseline year against which attendance is being compared: "At the 2005 conference, achieve a lOVo increase over the 2003 level." Further improve the statement specifying what kind of attendee is preferred. "At the 2005 conference, achieve a l07o increase of the 2003 level of client company presidents."

5. Responsibility without Authority

"Ensure that Congress passes the ABC bill by May 1" is a great example. Unless and until someone actually owns Congress, it's inappropriate to hold someone accountable for a Congressional act. It is neither reasonable nor fair to hold someone accountable for outcomes beyond their control.

What is reasonable and fair. how- ever, is to impose accountability for the flawless execution of a comprehensive strategy that maximizes the likelihood that Congress will do "X." If the strategy is approved by the supervisor as being comprehensive, and is flawlessly executed, whether the bill passes or not is not a valid measure of performance. The solution here is to preface the desired outcome with the words "work toward." The goal statement would then read: "Work toward ensuring that Congress passes the ABC bill by May 1."

Although the tedium required to craft evidence-based performance measures is indeed uncomfortable, comfort cannot be the yardstick by which we measure success-personally or organizationally. Indeed, the more we mature. the more we realize that it is the very antithesis of comfort that produces success. In addition, the initial development of the measures provides a template which lives on from year to year, usually requiring changes only in the actual names, dates, #'s andTo's.

- Ms. Dalton is founder and president of Dalton Alliances, a consulting firm providing a full range of services in the communication, management, and behavioral s c ienc e s ; www.daltonallianc e s.c om.

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