An organization’s performance measurement systems send strong messages to all
employees and drive their behaviors. It is imperative that these systems send
the right messages and drive the desired behaviors.
There are many performance measures that an organization can use and many ways
in which those measures can be classified. A fundamental classification of
measures is based on whether the measure supports the strategic objectives or
the tactical plans. An organization needs a mix of both types of measures. In
addition, the measures must be measurable, consistent, attainable, and
This course introduces what makes up a performance measure. Also included is a
discussion of how performance measures can be used in monitoring the ongoing
performance of the organization. The application and structure of a
performance measure is typically driven by the level of planning
supported—strategic, operational, or tactical—as discussed in the course.
After completing this course, you should be able to: