High Performance Managerial Leadership by André A. de Waal

Author:André A. de Waal
Language: eng
Format: epub
Publisher: ABC-CLIO
Published: 2020-11-15T00:00:00+00:00

Exhibit 28The CR Change Scorecard

TECHNIQUE: CREATING A PERFORMANCE MANAGEMENT SYSTEM FIT FOR AN HPO

To create a sustainable HPO, managers and employees alike have to behave in such a way that the objectives and goals of the organization are achieved on a high level. In practice, this implies that the organization’s performance management system has to be designed in such a way that it provides constructive information and feedback so that organization members can behave in a performance-driven manner. We developed the criteria for a performance management system that can support the HPO and put this in the performance management analysis (PMA), which you can use to assess whether the performance management system in your organization is fit for an HPO or, if not, use the criteria to build such a system.70

The PMA makes a distinction between structural and behavioral aspects of performance management. The structural aspect refers to the system’s architecture, which needs to be in place to use performance management. This usually involves determining CSFs and KPIs as well as designing a balanced scorecard. The behavioral aspect refers to the organization’s members and their use of the performance management system. The PMA is based on the principle that the two aspects of performance management, structural and behavioral, need to be given equal attention to establish an HPO. There are many things that can be measured and reported in an organization, but they will be of little value if organization members do not use this information to improve performance. Conversely, the goodwill of organization members does not count for much when they cannot access the performance information needed to display performance-driven behavior. We found there are strong relations between the PMA dimensions and the HPO factors, indicating that a performance management system that fosters performance-driven behavior is indeed of critical importance to creating and sustaining an HPO.71

The PMA consists of nine dimensions, with forty-four subcriteria, which are summarized here. In appendix 5, a detailed description of the dimensions is provided along with the way in which you can measure them.

1.Responsibility structure (structural): This structure has a clear parenting style: tasks and responsibilities have been defined and are applied consistently at all management levels. The subcriteria include the following: (1) the organization has a clear parenting style, (2) the chosen parenting style is consistently applied, (3) there are clear tasks and responsibilities in the organization, and (4) there are clear guidelines for the planning and target-setting process.

2.Content (structural): Organization members use a set of financial and nonfinancial performance information that has a strategic focus (e.g., CSFs and KPIs). The subcriteria include the following: (5) there is a balance of financial and nonfinancial information, (6) a strategic focus is created through applying CSFs and KPIs, (7) there is strategic alignment throughout the organization, (8) the targets are ambitious and set relative to the competition, and (9) a ranking of organizational units is applied.

3.Integrity (structural): The performance information is reliable, timely, and consistent. The subcriteria include the following: (10) the information is reliable,

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.