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Non-executive boards seem to have been left behind in terms of performance measurement, as there are few insights into how this process can be optimized, in order to increase boards’ effectiveness and to make sure they lead organizations towards success.
Over the last decades, more and more organizations have broken the boundaries of traditional, financial-based performance measurement, and started using KPIs for monitoring other activities as well. Furthermore, assessing individual and team performance has become a common practice in organizations where leveraging talent can represent a competitive advantage. Evaluating board performance is important, as this entity is responsible for ensuring that the organization’s desired state of evolution is successfully reached.
The concept of organizational culture is believed to be one of the most discussed topics when studying organizational performance. By calibrating an organization’s culture to the values and general principles encountered among its employees, a company can set the context needed for employees to perform and thus, to obtain the expected results.
Applied performance management sub- processes, tools and techniques within an organizational environment are a powerful driver for business development. However, it is not enough to operate randomly with these tools, they have to be aligned and integrated within a performance management system. When such aspect is not a priority in performance management inputs, outputs and outcomes will aim for different goals.
The Government of Kerala closely monitors the performance of its departments in a system known as the Performance Monitoring and Evaluation System (PMES), where each department has to prepare a Results-Framework Document (RFD).
RFDs are performance reports that show how well departments have managed their performance during the previous year. They are structured into 6 parts:
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