tools for identifying measures
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““The key to gauging both the The key to gauging both the performance and health of an performance and health of an organization and its processes lies organization and its processes lies with its selection and use of metrics. with its selection and use of metrics. A well-designed set of metrics A well-designed set of metrics provides a meaningful framework for provides a meaningful framework for measuring performance both measuring performance both vertically and horizontally. Not only vertically and horizontally. Not only are the metrics linked vertically and are the metrics linked vertically and horizontally, but they are also horizontally, but they are also balanced to provide different balanced to provide different perspectives” perspectives”
Tom Kubiak, Quality ProgressTom Kubiak, Quality Progress
Tools for Identifying Measures
Tools for Identifying Measures
Balanced ScorecardBalanced Scorecard
– Views strategies from five perspectivesViews strategies from five perspectives
– Balances competing objectives and expectationsBalances competing objectives and expectations
– Yields outcome, output and efficiency measuresYields outcome, output and efficiency measures
– Links perspectives through the strategyLinks perspectives through the strategy
The Value ChainThe Value Chain
– Links inputs, activities, outputs and outcomes at Links inputs, activities, outputs and outcomes at different levels of influencedifferent levels of influence
Balanced ScorecardBalanced Scorecard
– Views strategies from five perspectivesViews strategies from five perspectives
– Balances competing objectives and expectationsBalances competing objectives and expectations
– Yields outcome, output and efficiency measuresYields outcome, output and efficiency measures
– Links perspectives through the strategyLinks perspectives through the strategy
The Value ChainThe Value Chain
– Links inputs, activities, outputs and outcomes at Links inputs, activities, outputs and outcomes at different levels of influencedifferent levels of influence
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Washington’s Balanced Scorecard
Washington’s Balanced Scorecard
Public Value and Benefit
(ultimate outcome measures)
Internal Process Management
(output and process measures)
Financial Management
(efficiency measures)
Customer Service
(outcome measures)
OrganizationalLearning and Growth
(outcomes and outputs related to organizational issues)
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Customer Focus
Public Value and Benefit
Fina
ncial
Man
agem
ent
Organizational Learning
Internal Process Mgt.
Perspectives on Performance
Perspectives on Performance
Scorecard PerspectiveScorecard PerspectiveIndividual or GroupIndividual or Group
Service recipient
Citizen/Stakeholder
OFM
and
Leg
islat
ors
Staff/managersSupervisors
Performance ExpectationSample Measure
Service needs met Mission results
ROI
Capacity built
Process vital signs $,
FTE
’s $
/uni
tWait time, quality
Units completed
Results achieved
Skills acquired
MajorStrategy
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Balanced Scorecard Principles
Balanced Scorecard Principles
• Examine major strategies from all Examine major strategies from all five perspectives to:five perspectives to:– Identify all key requirements Identify all key requirements
– Anticipate issues that could Anticipate issues that could compromise your successcompromise your success
– Understand and address competing Understand and address competing expectationsexpectations
– Link the perspectives to each otherLink the perspectives to each other
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Balanced Scorecard Helps…
Balanced Scorecard Helps…
• Separate and clarify interests and Separate and clarify interests and contributions of partners and suppliers, contributions of partners and suppliers, staff, managers, suppliers, customers, staff, managers, suppliers, customers, stakeholdersstakeholders
• Identify ‘output’ ‘outcome’ and Identify ‘output’ ‘outcome’ and ‘efficiency’ measures around each ‘efficiency’ measures around each activityactivity
• Distinguish between what we can Distinguish between what we can ‘control,’ what we can ‘influence’ and ‘control,’ what we can ‘influence’ and what we can only ‘be concerned about.’what we can only ‘be concerned about.’
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DriversUltimate
OutcomesIntermediateOutcomes
ImmediateOutcomesOutputsOutputsActivitiesInputs
External causes $$
EmployeesIT tools
EquipmentFacilitiesStatutes
Processes and Roles
Productsand
services delivered
Impact on recipient,
Changes in
technicalquality
Changes in attitudes or beliefs
Changes in behaviors of
people or systems
Societalimpact
Value ChainValue Chain
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DriversUltimate
OutcomesIntermediateOutcomes
ImmediateOutcomesOutputsOutputsActivitiesInputs
Relationship to Strategic Plan
Relationship to Strategic Plan
Strategies Goals/Objectives Mission
Environmental Scan
Financial Plan
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DriversUltimate
OutcomesIntermediateOutcomes
ImmediateOutcomesOutputsOutputsActivitiesInputs
Levels of AccountabilityLevels of Accountability
Agency Control
Agency Influence
Stake-holders
CitizensMediaStakeholder
ManagersCustomer
Super-Super-visorvisor
Line StaffFiscal &Budget
Agency Concern
We offer work skills training to
inmates…
# of classes taught
We offer work skills training to
inmates…
# of classes taught
Inmates will have a marketable skill when they leave
prison…
# of inmates certified in the skill
Inmates will have a marketable skill when they leave
prison…
# of inmates certified in the skill
Inmates choose gainful employment
over crime…
% of inmates finding a job after
release
Inmates choose gainful employment
over crime…
% of inmates finding a job after
releaseRecidivism rate
declines.
% of inmates who commit crimes
after release
Recidivism rate declines.
% of inmates who commit crimes
after release
…so that…
Degree of Influence by
Department of
Corrections
Ultimate Policy Intent
Output
Immediate Outcome
Intermediate Outcome
Ultimate Outcome
Department of CorrectionsValue Chain
Department of CorrectionsValue Chain
…so that…
…so that…