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Balanced Scorecard: Top tips
How to avoid Measure Madness

Please, please, please, Never use a measure without explaining why!

We all know about dysfunctional measures. One that distort behaviour, cause information to be hidden, ambulance drivers to park outside Accident and emergency,

Why. Simply, because measures on their own do not communicate what is required. This is one of our favourite rants.

Lets take a simple example. Central government send out over 100 measures of “Best value” for councils. Until recently, not one actually said why it was being measured. You had to guess and interpret what was the intention.

What is going on? So someone in Whitehall (or corporate headquarters) is deciding that a particular issue is important. Rather than explaining what they want to achieve they decide to present it as a measure. So someone spends ages thinking up suitable measures to represent what they are thinking.

Now, rather than explaining the thinking and why the measure was chosen, they just communicate the measure. But, the measure is actually merely a surrogate for what they are thinking: What they want to achieve.

You receive the measure. Now you have to reverse the logic. Here is the measure. What did they mean by that? What was their underlying thinking? You have to guess the underlying logic. To work backwards to the original objective.

Ever played the children's game Chinese wispers, where the message gets passed along the line and becomes distorted as it goes.?  Of course by the time these steps have been taken (think of the objective, create the measure, communicate it, guess what it means or rather what they intended, communicate it to others, and then act to satisfy it) you can be a long way from the original intention. 

It gets worse when the first measure does not work so another, and another is added. Its like a series of ranging shots from a gun, this one fell short, so try something a but longer next time.

This is compounded when the measure, without the explanation is used to rank or penalise people. How will I be penalised.

So our message to everyone is this:

Never, ever, ever….use or communicate a measure
without explaining why you are using it:
What you are actually trying to achieve.

And if you are given measure, always ask,
“What are you trying to achieve by measuring this?”

It’s the least you deserve.

For a more extensive look at the culture of measurement, see our article A culture of performance in our case studies area.

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