Is your organisation getting what it needs from its existing performance measurement system? ,🙄

3 major reasons why a new framework is needed to replace first generation models, such as the balanced scorecard and the performance pyramid:

1. It is no longer acceptable or even feasible for organisations to focus solely on the needs of one or two stakeholder groups. Most performance measurement frameworks focus on the needs of the owners, and possibly the customers of an organisation. Other stakeholders such as employees and suppliers tend to be forgotten about.
2. Most performance measurement frameworks ignore the changes that must be made to the organisation’s strategies, processes and capabilities in order to meet the needs of stakeholders. It is assumed implicitly that if you measure the right things, the rest will fall into place automatically. This is often not the case.
3. Stakeholders must contribute something to the organisation. There is a ‘quid pro quo’ between the organisation and its stakeholders – stakeholders expect something from the organisation – but the organisation also wants something in return. Performance measurement should consider whether such stakeholders are delivering what the organisation wants from them.

The five🖐️ facets of the prism
The Performance Prism aims to manage the performance of an organisation from five interrelated ‘facets’:

Source accaglobal

1. Stakeholder satisfaction – who are our stakeholders and what do they want?
2. Stakeholder contribution – what do we want and need from our stakeholders?
3. Strategies – what strategies do we need to put in place to satisfy the wants and needs of or our stakeholders while satisfying our own requirements too?
4. Processes – what processes do we need to put in place to enable us to execute our strategies?
5. Capabilities – what capabilities do we need to put in place to allow us to operate our processes?

Performance consulting is a practice that became popular in the early 2000s

Performance consulting is a process in which internal or external clients hire consultants to provide a systematic and holistic approach to improve the workplace performance to achieve business goals.

Explanation

Many organizations are facing the problem of inefficient tapping of available human potential.

An organization has a certain goal and has the manpower to achieve this goal. However, the organization cannot design processes to translate the skills and competencies of this manpower to achieve this goal.

Performance consultants are then roped in to design a systematic and holistic approach to optimize the available manpower potential to achieve the goal.

Performance consultants first analyse and diagnose performance problems (as-is study). The second phase includes designing a blueprint and providing recommendations. The third and the final phase is implementation.

The process is highly subjective and in most cases, encompasses a large number of business units and service providers within an organization – organizational design, human resources, total quality management, learning and development, accounts, etc.

Because of the large number of stakeholders involved, organizations sometimes request a training module – performance consultants develop a training module related to a knowledge or skill gap after thorough analysis of the business strategy and conduct a training program with top-level management. The top-level management, with the newly developed skills and knowledge, designs policies and ensures implementation at every level in the organization.

A performance consultant needs to possess knowledge of different areas so that the analyses can include all aspect of the work environment.

For example, if the consultant’s knowledge is restricted to only HR, he/she may undertake an analysis related to HR aspects only and provide solutions based on this analysis. On the other hand, a consultant with knowledge of various domains can analyse the situation from different angles and provide a comprehensive solution.

Few top performance consultant

1.Petrofac

2. Mercuri india