Becoming Leader

Set clear objectives and measurement indicators

Leadershop challenges

Set clear objectives and measurement indicators

All leaders and team managers will often be confronted, throughout their career, with the need to be able to clearly measure the contribution of their team to the performance of their company and to the needs of their customers (internal and external).

They will also need to measure their team’s own performance on specific projects or against known and accepted operational standards within the company.

The choice of measurement indicators is sometimes free when it is a new activity or imposed by industry or sector standards and measurements. It is likely that each performance measurement table will contain a mix of both types.

Goal setting can be done in two ways as well, but the only engaging method to motivate a team is through consultation and collaboration to get team members to own and believe in the goals.

After all, who has achieved goals that he or she doesn’t believe in at all…No one. Hence the importance of discussion and commitment from all.

The Becoming Leader method is based on 5 phases:

  • The definition of the needs and expectations of internal and external customers
  • Setting up clear measures and objectives in relation to these expectations
  • Defining clear processes that will be critical to achieving customer objectives
  • Setting up metrics that measure process performance and end results – leading indicators (are we on the right track) and trailing indicators (are we on target)
  • The implementation of measures to gauge the health of the factors that contribute to good performance and that are critical to the proper conduct of the process and therefore to customer satisfaction

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Let’s take a closer look at the Devenez Leader method:

Defining the needs and expectations of internal and external customers

Most customers will have requirements that revolve around the same themes: the level of service (time and quantity), the quality (right the first time) of the products or services and the quality of the relationship (rapid and complete response to their expectations). It is a matter of defining them well after having conducted a series of customer interviews to understand what they value most and which will allow you to maintain and expand your business with them.

Setting up clear measures and objectives in relation to these customer expectations

It is a question of finding the right indicators that will allow you to motivate your team members and to mobilize them over a given period of time. We will apply the SMART method which says that a good KPI must be :

An example of a KPI that is not SMART on customer service:

“We will improve our customer deliveries by 50%”.

An example of a SMART KPI on the same customer service:

“The percentage of on-time and complete deliveries will increase from 80% in December 2020 to 90% in December 2021 (if achievable in 1 year of course)”

It is critical to involve team members in this process during one or two workshops and to sometimes challenge the nature of the measure, its definition and its frequency. If customers use a similar measure, we might as well align ourselves with them to avoid measuring apples and pears.

The importance of a measurement is that it makes us see what is necessary to improve and that it leads to real problem-solving actions to increase performance. So beware of too many measures and too much administrative burden to keep them up to date. It is better to have fewer measures and more actions.

Defining clear processes that will be critical to achieving customer objectives

Once the customer measures and objectives have been clarified, then the key processes that will help achieve them must be identified.

There are several strategies on this point:

  • Either we measure a process as a whole
  • Or we measure only the hard points of the process (bottleneck or quality loss for example) after having made a pareto of the causes.

For the example used above, we can for example choose the order preparation process in the warehouses which will be a good proxi – if this process does not work well then there is no possible improvement in customer measurements.

Setting up measures that gauge the performance of the process and the final result – precursor indicators (are we on the right path) and resultant indicators (are we at the final objectives)

To take the example above, we could for example measure the resultant indicators of the internal production process:

  • The number of product lines below the safety stock (do we have enough stock at all times?)
  • The % of the number of orders prepared and ready within 4 hours before the logistic shipment (are we able to prepare in time before the shipment)

These 2 measures will be very useful to better understand what is going on in the “bowels” of the company and where our problems are.

But even better would be to add a precursor or predictive measure of process performance:

  • The % of production batches with rework operations (are we going to receive orders from production in time and quantity)

It is very important to measure a balance of resultant (we can only see the damage) and predictive indicators (we can see the damage coming if we are already drifting at that moment).

The classic example is weight loss.

If the measure is the number of kg and the objective is to lose 10 kg between January and March, you can’t do much when you are on the scale at the end of March – it’s a bit late. So you need to supplement with a predictive measure like daily calorie consumption and daily calorie expenditure to give yourself an indication if you are likely to move in the right direction ?

Implementing metrics to measure the health of the factors contributing to good performance

Most processes are going to have to have strong enablers or contributing factors that will need to be measured to ensure the health of the process.

For example, absenteeism or employee morale is a classic one because if it is too bad, then there is little chance of achieving other goals.

Typical factors are:

  • Team commitment and involvement in performance
  • Staff security
  • Training and team skills
  • Absenteeism and turnover
  • Reliability of equipment to run the process
  • Reliable supply of raw materials or components for the product or service

In conclusion, the Becoming Leader approach will allow you to have at a glance a clear idea of the influential indicators of your key processes that deliver added value and the right service to your customers… a must for modern management.

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We address these issues through several types of services :

– A complete leadership development solution where we address these issues of recognition leading to the motivation of people,

– Individual coaching where the participant works individually with the guidance of a coach on this issue,

– Team coaching if these behaviors or lack of seting objectives and KPIs are a team issue with the help of a professional coach specialized in group coaching,

– A specific thematic workshop if it is appropriate.

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