Page 69 - Performance Leadership

58 • Part I A Review of Performance Management

Analytical Dimension

You need to answer a set of three questions for the development of your
organization. The three questions are:

• Where do we want to be?
• Where are we now?
• How are we going to get there?

In large part, the journey is the destination. Strategy is a continuous
learning experience instead of a five-year plan. In Covey’s terms, strat-
egy requires us “to see the end from the beginning and to see the entire
journey, at least in principle,” and to fill in the details as we go. The
analytical dimension represents the second loop of management, ask-
ing yourself if the targets are ambitious enough or if you are managing
the right process.
In order to be successful, you need a strategy that sets you apart. Best
practices only bring you so far. High performers don’t benchmark
themselves with others, but with their aspirational goals. On this level,
strategies, processes, and performance indicators cannot be standard-
ized, as every organization has some unique characteristics. First of all,
different organizations, even in the same market, have different strate-
gies. Some organizations excel in being lean and mean; they have clear
cost leadership and deliver their service with unrivaled speed and oper-
ational excellence. Others are completely original in their approach to
service, product development, and speed to market; they excel in inno-
vation. Lastly, there are companies that may not be the cheapest or
most advanced; they are simply there for when the customer needs
them, and they excel in customer service. Each of these strategies leads
to a different set of business drivers and therefore business metrics. Fur-
ther, even two organizations in the same market with the same strategy
have key differences, because of different levels of maturity and skill
sets of the key staff. Lastly, every organization has strategic projects that
need to be monitored and issues that need to be resolved that require
specific metrics, but only for a certain period of time.
The analytical dimension represents the mental state: is it clear and
organized? Or is the mind of the organization less focused, distracted,
and ineffective? In order to make the continuous learning exercise a