Blogue | Attrix

How to make your performance indicators more effective

Written by Patrick Vallerand | Jul 30, 2024 3:14:33 PM

We often see dashboards like the one in the attached photo. Even when they're better organized, our first reaction is often, “Just another person trying to justify their work.” Numbers can say whatever we want, and it's sometimes difficult to make these indicators engaging and motivating. The expression “too much is like not enough” takes on its full meaning here. Focusing on the important elements only, and ensuring that they are consistent in expressing the current situation, is essential to establishing a culture of continuous improvement. Here's a recipe that, for me, has worked well over the last few years. 

TYPES OF PERFORMANCE INDICATORS

REGULAR (PERMANENT)

It's advisable to monitor an average of 4 to 5 indicators on a regular, ongoing basis. These indicators must be in line with the company's mission, and help to achieve the department's objectives. In the event of deviation, they enable you to rectify the situation before it's too late. Be careful not to have too much: remember, too much is like not enough. At a glance, you should be able to tell whether the week has been good or bad. 

TEMPORARY (ONE-OFF)

When working on a change, an improvement or a problem, we often set up indicators to monitor the project's progress. This is a crucial step in achieving objectives and reinforcing the relevance of the change. Whether calculating a return on investment or rectifying a problematic situation, it's important to monitor the situation to ensure success. Once the situation has “crystallized”, i.e. become well established and a daily habit, you can then remove the indicators from the one-off monitoring and continue with the next change. 

A METHOD FOR MAKING PERFORMANCE INDICATORS EFFECTIVE AND MOTIVATING

I'm far from a rocket scientist, but I use the See-Comprehend-Act technique a lot. Indicators are there to highlight a problem, not to evaluate a department's performance. The department's performance depends on employees understanding and acting on a problem. 

SEE

The indicator needs to be visual, and draw attention when a situation arises. You need to be able to identify problems quickly, so you can rectify them before too much damage is done to the business process. 

UNDERSTAND

Managers need to understand the indicators. They must be relevant and adapted to the reality on the ground. Managers must take the time to fully understand the situation before making decisions.

ACTION

Once the problem has been identified and understood, it's time to take action to restore or maintain the situation. Maintaining means understanding why things are going well, and continuing with actions that produce good results. 

With this method, success is almost guaranteed. When I evaluate my managers on indicators, I look at their understanding and the actions they take. Whether the indicator is red, yellow or green, it can happen. The important thing is to know whether the manager is in control of his department and capable of maintaining good results. A manager who comes to see me on a Friday to explain why the week's indicators won't be good shows me that he's in control; often, I won't even look at the indicator because I'm confident. 

THE IMPORTANCE OF RIGOROUS FOLLOW-UP

It's essential to maintain a rigorous approach to tracking indicators. If you ever stop tracking indicators with employees, they tend to relax their efforts, because they don't feel recognized. Regular monitoring of indicators shows employees that their work is important and valued, which encourages them to maintain their efforts. This reinforces discipline and commitment, ensuring continuous and improved performance. Recognizing efforts and celebrating successes creates a positive, motivating work environment where everyone feels responsible for the collective success. 

IN THE END

Performance indicators should be a motivating aspect, not a demoralizing one. It's crucial to keep the focus on the action, not the result. Seeing your indicator in the red for several weeks can be demoralizing, but it's always more motivating to have an action plan and a vision of when the situation will be restored. The sense of belonging is increased tenfold when employees feel they are really making a difference, and that's what indicators are there for. All too often, indicators are used to catch people out, making it difficult to maintain an engaging aspect under these conditions.