Measurement in an Organization Defines Culture

Measurement communicates to everyone what is most important to an organization and how the person, team or department fits into the organization. In order for measurement to be effective it generally needs to posses the following three characteristics.

1. Fits into and relates directly to the big picture. Again, this is why clarity is step one. If everyone in the organization clearly knows what the plan is they can know why the measurement at hand is important. I have found that the best way to ensure that measurement is effective and taken seriously is to have the people responsible for the measures design what the measures should be. By doing this the people responsible are also designing the process of executing the plan and strategy. The White Board Video accompanying this post will go through an exercise that demonstrates how to do this as well as accomplish the following two points.

2. Immediately Self-Measureable. Self Measurement is only effective if it is easily measureable at any moment by the people responsible. If it takes more time to measure or think about measuring than it does to write this sentence, typically people will not measure. Instead, they will get wrapped up in just trying to get things done because measurement has become something that gets in the way of getting things done. My experience has show that if something takes longer than 30 seconds to measure, people avoid measuring.

3. Public. People like and need to perform. If you do not create an environment where they are performers they will not perform. Give people a stage and watch what happens to performance! Making measureables public allows people the opportunity to show how they contribute to the objective. This is healthy from both the perspective of someone knowing where they fit as well as everyone else knowing where that person, team or department fits in an organization.