Chapter 12

Measuring Performance of People

12.1 INTRODUCTION

People are the most important element in the performance of an organisation – whatever the size, whatever the sector. Good strategy and processes are essential, but it is people who are developing and implementing the strategy and devising and using the processes. No amount of measurement will help an organisation to be successful if the people are not engaged and motivated and working to the best of their abilities.

Later chapters deal with the management and leadership issues that create the environment for high performance. In this chapter we examine the essential elements for creating and maintaining high performing teams and individuals and how you measure them. Although measurement cannot create good performance it does give you a benchmark of where you are and how you are progressing, and the act of measuring focuses attention on the most important activities. Many aspects of individuals’ performance are intangible and problems come to light when it is too late to do anything about them. At an organisational level, measurement can provide an early indicator of what is to come. At an individual level, people like to know how well they are doing and what they are achieving, and measurement is a tangible way of showing progress and motivating people.

12.2 ESSENTIAL ELEMENTS FOR HIGH PERFORMANCE

What makes employees perform well? You can divide the elements for good performance into two groups – the tangible and the ...

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