Often managers do not have an easy way to measure and monitor performance indicators – or an effective method for communicating goals and objectives. As a result, too much focus can be placed on financial indicators and lagging performance measures while not enough emphasis is given to critical operation metrics and key performance indicators (KPIs).
Companies risk wasting resources and efforts when they lack a commonly shared and understood strategy. In the absence of a shared source of metrics, managers may measure performance in areas not related to the corporate strategy or not aligned in the correct way.
The employees know they are responsible for driving corporate performance. However, not every employee knows if or when they are responsible for resolving a performance-related problem. Many problems persist or go unaddressed simply because no one person, team or department has been specifically assigned to resolving them.