[quote]Kuz wrote:
hspder wrote:
hedo wrote:
Set clear objectives and goals for your folks and manage consistently towards them. Whether it is productivity or revenue objectives make sure you communicate those goals and manage towards them on a consistent basis.
This is good advice, but be VERY careful in certain areas (you haven’t mentioned what line of business you’re in).
I obviously have contact with managers that are mostly with high-tech companies (this is called the Silicon Valley for a reason…) and they quickly found out that measuring things like productivity and contribution to revenue is immensely difficult. In fact, my wife and I have worked on several projects that involved finding ways to measure these for high-tech employees and she had to work up some pretty sophisticated models to get something resembling useful measurements.
Two examples:
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Tech support workers were measured for many years based on the number of calls/incidents they close. Tech support managers quickly found out that is a HORRIBLE measurement, because workers started focusing on closing as many cases as possible, rather than focusing on helping customers through; so then came customer satisfaction surveys but that is not a good measure too because only about 10-15% of customers respond to those and most of the time the ones that do are the ones that were either royally pissed off or extremely happy – so instead of getting a Normal Distribution (as you should) you get a “valley” (peaks on the extremes of the spectrum).
And if that wasn’t enough, e-mail made things worse because now since e-mails go to queues, techs could cherry-pick the cases that were easier and leave the harder ones for the poor bastards that came in on later shifts. -
Software Engineers were measured for many years (and still are) by # of lines of code produced. However, how any GOOD Software Engineer will tell you, good code is efficient and clean code, hence guys that produced small, efficient software by giving some thought to each line were in disadvantage to crappy programmers that just type away line after line and create bloated pieces of crap…
Basically, all of this to exemplify the old story of quality vs. quantity…
So, yes, goals and objectives are essential, but be VERY careful on what you measure and set… it’s much harder than what it seems.
It’s funny you mentioning the measurement examples since we have our own version of a quality system in place for the entire global company, so that part is pretty much taken care of (whether that is a good thing or not I leave up to debate). But we measure the ever living hell out of seemingly everything… and I truly wonder how much of it gets to quality vs. quantity or just doing things to satisfy a metric vs. creating an actual, long-lasting, meaningful improvement.[/quote]
Kuz and Hspder
I own a company that does marine services and contracting in NY and NJ and selected other cities. My wife owns a travel company.
Our measurments are fairly easy to set and manage towards. Productivity and production with regards to sales being the most important.
I’ll agree with hspder that the high tech side is harder to track and define. Perhaps that’s a good lesson for a new manager. Make sure your folks know how you are going to judge them. Additionally make sure you know what metrics your being evaluated on.
It’s a challenge but a lot of fun.