Performance Measurement Consulting

Many organizations find it difficult to build an effective and complete performance measurement system. Sikich performance measurement consultants first assess the organizational needs by reviewing the structure, financial performance, and operational plans. If necessary, a Performance Plan is developed to define organizational goals, and develop performance measures linked to those goals.

Sikich Performance Measurement & Dashboard Consulting  is based on the Balanced Scorecard (BSC – Kaplan & Norton) methodology as the primary basis for facilitating the development of Performance Measures and Key Performance Indicators (KPIs). These KPIs then form the web-based Business Dashboard Reporting Services that enable organizations commercial and non-profit to:

• Drive strategy and execution

• Identify, prioritize and align strategic initiatives

• Link financial goals budgets to strategic outcomes

The term “balanced” is rooted in the rationale is that organizations cannot directly influence financial outcomes, as these are "lagging" measures (they tell you what happened in the past).

Financial Perspective

Organizations should develop KPIs which influence financial and other outcomes. For example, process performance, market share / penetration, long term learning and skills development of employees. These activities are under the direct control of management and provide “leading” indicators of future performance. BSC methodology categorizes these as:

Customer Perspective

This perspective typically measures both the value that is delivered to the customer (value proposition) which may involve time, quality, performance and service, and cost; and the outcomes as a result of this value proposition (e.g., customer satisfaction, market share).

Operations Perspective

This perspective typically measures the activities and outcomes focused on attaining excellence in execution – driving the value expected by the customers both productively and efficiently. These can include both short-term and long-term objectives as well as incorporating innovative process development in order to stimulate improvement.

Human Capital Perspective

Focuses on the intangible assets of an organization, including the skills and capabilities that are required to support the value-creating internal processes – including learning and development, communication, performance driven incentive programs.