Chapter 2: Performance Management

The words Performance Management often initially brings to mind the management of individuals' performances within a company. How can I get Ron to spend more time developing leads? How can I get my production line workers to focus more on quality? But when we take a holistic view of Performance Management, we think about the enterprise as a whole, and how we manage its performance. We look at the strategic objectives of the company, along with the processes for carrying them out and the key performance indicators (KPIs) that tell us about the progress we're making toward our objectives.

You started this process in the Leadership when you took inventory of the current state of your business, the environment that your business operates in, and then developed your strategic objectives. We'll continue the process here as we add teeth to your strategic objectives by aligning them with responsibilities, action plans (systems), and measurements (KPIs). Let's start by taking a look at the current state of work in your business.