Wednesday, February 15, 2012

Is Your Organization High Performing?

In a recent meeting with some colleagues, I shared my perspective that as part of the strategic planning process, SWOT (Strengths, Weaknesses, Opportunities, and Threats) is a waste of time unless you build in some “forced analysis” at the end of the process, resulting in specific strategic conclusions (for more information on this enhanced SWOT process, see The OPEN MINDS Guide To Strategic Planning: Best Practices In A Turbulent Market premium members and Navigating Through Tumultuous Times: Six Keys to a Solid Strategic Plan premium members).

When they were surprised at that perspective, I went on to explain that SWOT without analysis is usually just a feel good exercise. The first 10 or 20 items listed by any management team or board are not really that helpful – talented management team, dedicated board, serve the most difficult consumers, fees too low, staff stretched to their max capacity, indispensable to the community – and on and on.

To me, one great irony is that organizations making these claims rarely have any data to support their notions about organizational performance or positioning. In my market research classes of ages ago, it was referred to as the “fallacy of anecdotal experience.” Interestingly, getting customer metrics are relatively easy – payer interviews, mystery shopping, focus groups, etc. – and the give great insights into how the external world views your organizations. The more difficult part is getting internal metrics – and then having a basis to compare them to other organizations to judge whether organizational performance is poor or (to quote Garrison Keillor) “above average.”

This measurement process has two-steps. First, measure internal performance metrics and second, benchmark them within your organization and to external organizations. The value of this type of process benchmarking is discussed by my colleague Paul Lefkovitz in his article, Implementing Process Benchmarking: Find The Secrets To Great Performance premium members. In its most basic form, process benchmarking is about finding the measures of “top performers” (whether internal or external) – and then applying those principles organization-wide.

Why is this type of performance measurement important? I recently discussed the organizational characteristics required for successful change, accountability for performance is one of four keys that will help you execute your strategy (see The Lesson From 2011: Innovate Or Dwindle premium members).

And, the ability to use data in organizational management – from planning to service line decisions is a key determinant of future organizational success in the health and human service field (see The Informatics Advantage all members). For some additional resources on performance measurement and benchmarking, check out:

• Beyond Outcomes: Benchmarking In Behavioral Health & Human Services premium members

• Better Data = Better Decisions: Using Metrics To Manage In A Competitive Environment premium members

• eHealth Benchmarking - Final Report premium members

• Real-time Information for Organizational Improvement all members

• Mental Health Services Consumer Engagement & Adherence With Treatment Associated With Staffing Practices premium members

When it comes to performance metrics, just remember the adage, if you’re not measuring it, you’re not managing it.

Sincerely,
Monica E. Oss
Chief Executive Officer, OPEN MINDS

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For another free resource, see: Enhance Productivity! all members 

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