Following are a couple “enterprising thoughts” that we hope you find of interest and of value. Drop us a note when you have a moment…we’d enjoy hearing from you.
Doing business and making decisions doesn’t need to be complex…but it has to be right. It is important to think about customers right. It is important to treat employees right. And it’s important to honor shareholders’ requirements right. So what does it take to be right in business today?
As it relates to performance management and decision support, we call it “decisionomics”…which is just our cute (or not so cute) way of prompting you to think about how to get the right information into the right hands at the right time so that your well-motivated team can take action on right decisions.
Before we go too far let’s see if we can agree on one thing: being right does not mean being precise. Rather, in today’s fast paced world it means being directionally accurate, motivated to make a decision, and empowered to implement that decision. As to being precise, certainly there are times and disciplines where an absolutely precise answer is important. However, that’s not usually the case when it comes to performance management. When it comes to measuring performance, motivating behavior, and anticipating results, it is better to have an 80% right answer focused to the right question, than to be 100% accurate with an answer to the wrong question. Many of us don’t work well with “directionally accurate” information…we’re uncomfortable with just being close. So we study and study and study the situation at hand. Not so long ago you could survive with some hesitation in your decision making. Today is a different story. The pace of today’s market place says you have to be quick…and right.
Decisionomics is simply the “art” of coordinating your planning systems…
…with how you prepare and deliver information to the decision making routines in your organization,
…with your balanced performance measures and related management incentives,
…all wrapped around a common decision support language and a shared set of principles.
It’s not magic, it’s not overly complex
…but it is absolutely important.
People are people.
Having worked performance management and decision support issues the world over and in doing so worked in many different cultures, we have come to the startling conclusion that “people are people”. We all need pretty much the same things from one another. Duh, you say…
…well, the lingering question is: if motivating behavior and empowering people is so simple why do we (as business management teams) continue to struggle with it time and time again. A core fact of business is that the people who work with us need certain things to do their jobs well and succeed in the increasingly complex tasks we give them. It is not getting any easier, you know.
Have we trained them well…and equipped them with the right analytical tools for the job at hand?
Have we empowered them…I mean really given them both a green light and the resources needed to act decisively on the decisions they make?
Have we structured the incentives properly…to the point where the risks are at least equalized by the rewards available?
Have we given them easy access to the right information…relevant, credible, and actionable information upon which they can rely?
Have we really facilitated and encouraged their interaction with others on the team…do the planning processes and measurements (e.g., scorecards) bring disciplines together?
Give yourself a self-test on these issues. Ask the people who work with you how they feel. Then, “do unto others…”
After all, people are people and
we all need pretty much the same thing.