You show me how I will be measured…
… And I will show you how I will behave
We all know it’s true. There is scientific evidence to prove it. If you set someone a goal they will try to hit it. It is so effective that measurement and target setting have become the number 1 management tool.
But applying the tape measure to your organisation is a subtle art, the way you do it can lead to remarkably different results:
Method 1: Micro Measurement
This is the common method, it worries about the component parts of an organisation and individual performance. The measurement system is:
- Task focused: measuring the internal tasks and how well staff do them.
- Controlling: telling employees what needs to be done and ensuring compliance.
- Detailed: measuring every input ensuring a full picture, leaving nothing to chance.
- Target driven: using SMART goals so that there is no debate about what good looks like.
- Incentivised: to be sure the measurement system drives results it includes financial incentives.
Method 2: Macro Measurement
The road less travelled, this method focuses on the interactions within a business and looks at the total system. The measurement approach is:
- Outcome focused: looking at what the customer wants and measuring how well the whole system delivers.
- Empowering: ascertaining employees needs and working to meet them.
- Holistic: focusing on the few key things that are important, showing the wood from the trees.
- Relative: using trend lines to make sure that everybody knows what better looks like.
- Capability building: to be sure the measurement drives results it results in coaching and development.
Which is the better method?
Both methods are guaranteed to give you the outcome you ask for. So which should you use? That depends on what you need to get done.
- Do you want the components of your business to work better — your calls answered quickly?
- Or the system to work better — your customers to have their problems resolved?
They are not the same thing. Just remember:
What gets measured gets done
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Image by: Stevie’s Snaps
Read another opinion
James,
I never quite thought of it that way: “You show me how I will be measured… … And I will show you how I will behave.” So, “what gets measured gets done” certainly has a downside… HOW will it get done? Does that goal, that number drive the desired behavior to achieve it? Or does it just drive action to hit the goal, regardless of how you get there.
Annette :-)
Hi James, Annette,
This reminds me of Pavlov’s dogs and classical conditioning :)
Also, I saw this article the other day and it’s relevant to the topic and post:
http://www.economist.com/news/business/21645745-management-goal-setting-making-comeback-its-flaws-supposedly-fixed-quantified-serf
One of the most interesting things was the idea that some studies have “found that managers who believe they have been set a goal that is unattainable are more likely to abuse their subordinates”.
Choose and set your objectives wisely.
Adrian
That is truly dreadful Adrian, but on reflection I see it every day
Thanks for the link
I completely agree with you James, measuring does equal action however one great aspect of action and it’s effectiveness is the length of time between measurements. I’ve found that quarterly set targets and goals work great compared to yearly targets, it’s mostly a mental block with yearly targets as the time span is way too long!
Interesting Marius, ties in nicely with Adrian’s point above.
Thanks very much for your comment
Hello James,
Well put. The mindset to the dominant forms of organisational design and management practices will result in Method 1. Not only is this method seen as easier, it is the ONLY logical method.
Method 2. Only a manager who in is being comes from Theory Y would see this method as both a possibility and the more valuable course of action.
What I find interesting is your question “Which is the better method?” I’d say that one can only start to grapple with this question if one deals with the following questions:
1. For whom?
2. Over which time frame?
3. Under which organisational context / environment?
There is no such thing as a better method. Only a more appropriate method given the situation one finds himself in and the game one is playing.
All the best
maz
And, I suppose also where your personal interests lie…
I agree that measurement is a tool to drive performance; however, I feel it is over used and dangerous in the hands of people that don’t understand statistics. I have met managers who seem to take the “what gets measured, gets done” philosophy and set in weekly management meetings where we reviewed 30+ metrics. Also, I find that regression towards the mean provides an “illusion” of management.