Transforming Corporate Performance: Measuring and Managing the Drivers of Business Success

By Michael A. Milgate | Go to book overview

1
Context for Strategic
Performance
Measurement

CONTEXTUAL ISSUES
The word that most aptly describes the broad context for b1575219_Ch01-02contemporary performance measurement is uncertainty. On the one hand, competitive corporate pressures and volatile business conditions often force a readjustment of priorities, resourcing, and response, while on the other hand, there is focusing and mobilizing of the organization, changing it and its complex interrelationships and activities, which is difficult at the best of times.There are many other variables concerning business strategy and performance. These encourage uncertainty because the answers to key questions such as the following are unclear:
1. What kind of organizational capability is needed to shape sometimes myriad forms of responses from various stakeholders?
2. What are the drivers of better performance or greater stakeholder value?
3. How are these drivers tracked?
4. How is measurement effectively deployed?
5. Postanalysis, what action results?

Two other overriding questions are crucial: Can measurement drive internal change, improving performance and the delivery of capability against unpredictable external conditions? How might measurement

-1-

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