Measuring is essential to keeping an enterprise in motion.
When company goals are clear, consistent and cascaded throughout the organization (Hoshin Kanri), measuring and knowing where you are and what needs to be done to improve becomes clearer – everybody understands their team’s progress and that of the company. An added benefit will be increased employee engagement and satisfaction.
When considering performance measures, keep in mind these 6 principles:
- Measure the right things to drive growth and target margin
- Create a mix of leading and lagging indicators at each level of the organization
- Every team should have direct measures of their performance
- Measures must make problems visible and drive action
- Metrics should be visible
- Create the time and environment needed to review and take action.
Building a performance management system
Stakeholders Value – Annual Hoshin – Mid-Term Hoshin
A good lean performance management system links visual flow management and performance management. It includes the construction of visual daily management boards for team activities and becomes a major component of leader standard work
We will help your organization define relevant metrics at each level for each department and each value stream and create the review routines necessary to build a solid performance management system to keep your enterprise in motion.
Give us a call, we would welcome the opportunity to learn more about your process improvement initiatives and share business process management perspectives.