What goes wrong with our planning? Why are we always focused on the delivery of our planned actions and yet we rarely see demonstrable change in our results? Why do we focus on hitting the numbers in our KPI targets, even though we know they don’t really demonstrate the impact of what we do? To achieve the level of performance we are seeking - we need to change how we plan and what we plan for. Measurement provides a key feedback loop that helps us understand what is working, and what is not. Measurement helps us learn. Organisational learning is key to achieve more with less.

1. The interdependence between
planning and measurement to
achieve performance improvement.
PPN Forum
Wellington, November 2019
MARK@MARKHOCKNELL.COM

2. How Humans Learn

3. Doing
ObserveReflect
Planning
How we learn

4. How we learn – quality/process
improvement
Known as the Deming Cycle; developed by W. Edwards Deming, Total Quality Management
(Image by Johannes Vietze )

5. Strategic Plans

6. Typical strategic planning questions
1.
Where do we
want to be in –
1, 2, 5 or 20
years?
2.
What do we
need to do to
get there?
3.
Are we there
yet?
Describe the
future state –
Outcomes,
Impact and
change we want
to achieve
Write the Plan:
• Projects
• Initiatives
• Actions
Deliver the Plan:
• Projects & Initiatives -
on time, on budget
• Actions – done

7. Strategic Plans

8. Balanced Scorecard
late 1990’s

9. Centre for Epidemiology and Evidence. Developing and
Using Program Logic: A Guide. Evidence and Evaluation
Guidance Series, Population and Public Health Division.
Sydney: NSW Ministry of Health, 2017

10. Planned
Strategy
(Vision, Mission,
Purpose, Intent)
Prioritised
Results
(Results Map)
Business Planning
/ Initiatives
Informs
Transformation
Change Plan / Program
Individual/Team
Dev Plans
(change/ BAU)
Informs
Measures /
Targets
(feedback on
Results)
Realised
Strategy
Outcome
Performance Measurement Framework
Performance Planning
Framework
FeedbackLoop
Performance Management Framework
Integrating planning, measurement, learning cycles and the implementation of strategy.
Initiative Delivery
Performance
Reporting
(to Improve
Performance)
1. Plan 2. Do
3. Check
4. Act

11. “Effective management is based on a foundation of effective
measurement, and almost everything else is based on that…
Organizations are conglomerations of many systems.
Measurement is actually the most fundamental system of all. When
the “measurement system” works well, management tends to
manage (and reward) the right things – and the desired results will
occur.
The measurement system – for good or ill – triggers virtually
everything that happens in an organization, both strategic and
tactical. This is because all the other organizational systems are
ultimately based on what the measurement system is telling the
other systems to do.”
Dean Spitzer, Transforming Performance Measurement,
(2007,pages 13-14).

12. Key Points (so far)
• Plan-Do-Check-Act is the human process for
improvement, it is how we learn, how we improve.
• How we plan, design and implement - needs to
leverage from the PDCA cycle.
• The decisions we make during implementation are
based on our measurement system (for good or for ill).
• Better measurement will improve decision-making
leading us toward the Realised Strategy we want.

13. PuMP – The Performance
Measurement Process
A method for measuring
organisational performance

14. Stacey Barr and PuMP
• Performance measure specialist
• Creator of PuMP
• Author of:
– Practical Performance Measurement: Using the PuMP
Blueprint for Fast, Easy, and Engaging KPIs
– Prove It! How to create a high-performance culture and
measurable success.
• Blog at www.staceybarr.com
• PuMP is used and delivered around the world
through a network of PuMP Partners

15. • What is your biggest struggle or
challenge with performance
measurement..?
Discuss in pairs, we’ll collect the ideas in a few
minutes.

16. The 8 biggest performance
measurement bad habits
1. Use measures to judge people’s performance
2. Write strategy with vague, weasely language
3. Use brainstorming to choose measures
4. Ask people to simply sign off on selected measures
5. Rush to get data and build dashboards
6. Compare this month to last month to assess
performance
7. Use performance reports to CYRE
8. Use education, resourcing and funding as improvement
initiatives

17. The Anatomy of a Performance
Measurement Approach
steps frameworks templates tools

18. The PuMP Performance Measure Blueprint
STEP 2STEP 1 STEP 3 STEP 4
Understanding
Measurement’s
Purpose
Fixing the focus firmly on
continuous improvement as
the purpose for
measurement.
Mapping
Measurable Results
Translating our strategy into
clear, focused, and
measurable performance
results.
Building Buy-In to
Measures
Getting ownership from our
stakeholders, quickly, easily
and engagingly.
> > >
This is our “WHY” for
measuring performance.
Establishing our purpose
for measuring has a huge
impact on culture.
The WHAT to measure – how
to write Results/Outcomes
that are measurable.
Think of these four steps as the ‘design phase’ for
the measurement system.

19. The PuMP Performance Measure Blueprint
STEP 2STEP 1 STEP 3 STEP 4
Understanding
Measurement’s
Purpose
Fixing the focus firmly on
continuous improvement as
the purpose for
measurement.
Mapping
Measurable Results
Translating our strategy into
clear, focused, and
measurable performance
results.
Designing
Meaningful
Measures
Choosing the most feasible
and relevant measures that
evidence our performance
results.
Building Buy-In to
Measures
Getting ownership from our
stakeholders, quickly, easily
and engagingly.
> > >
How to design and select
performance measures
that give us feedback on
the Results/Outcomes we
seek.
Think of these four steps as the ‘design phase’ for
the measurement system.

20. The PuMP Performance Measure Blueprint
STEP 5 STEP 6
Implementing
Measures
Documenting in detail the
data, analysis and reporting
requirements for each of
our measures.
Interpreting Signals
from Measures
Focusing ourselves on gaps
between as-is and to-be
performance.
>
Defining the
measure is the first
thing we need to do
to bring a measure
to life.
We must ensure we
can interpret
signals from
measures
consistently.

21. The PuMP Performance Measure Blueprint
STEP 5 STEP 6 STEP 7 STEP 8
Implementing
Measures
Documenting in detail the
data, analysis and reporting
requirements for each of
our measures.
Interpreting Signals
from Measures
Focusing ourselves on gaps
between as-is and to-be
performance.
Reporting
Performance
Measures
Creating useful and usable
performance reports that
inspire us to action.
Reaching
Performance Targets
Improving business
processes to move as-is
performance toward to-be.
> > >
Our dashboards must
be useful and useable to
the user. Plus describe,
what performance is
doing, why it is doing
that, and the next best
action to take (if any).

22. The PuMP Performance Measure Blueprint
STEP 5 STEP 6 STEP 7 STEP 8
Implementing
Measures
Documenting in detail the
data, analysis and reporting
requirements for each of
our measures.
Interpreting Signals
from Measures
Focusing ourselves on gaps
between as-is and to-be
performance.
Reporting
Performance
Measures
Creating useful and usable
performance reports that
inspire us to action.
Reaching
Performance Targets
Improving business
processes to move as-is
performance toward to-be.
> > >
Systems and process
thinking.
Continuous
improvement.

23. The interdependence between
planning and measurement to
achieve performance
improvement.
1. Macro level
2. Micro level

24. Planned
Strategy
(Vision, Mission,
Purpose, Intent)
Prioritised
Results
(Results Map)
Business Planning
/ Initiatives
Informs
Transformation
Change Plan / Program
Individual/Team
Dev Plans
(change/ BAU)
Informs
Measures /
Targets
(feedback on
Results)
Realised
Strategy
Outcome
Performance Measurement Framework
Performance Planning
Framework
FeedbackLoop
Performance Management Framework
Integrating planning, measurement, learning cycles and the implementation of strategy.
Initiative Delivery
Performance
Reporting
(to Improve
Performance)
1. Plan 2. Do
3. Check
4. Act

25. Typical strategic planning questions
1.
Where do we
want to be in –
1, 2, 5 or 20
years?
2.
What do we
need to do to
get there?
3.
Are we there
yet?
Describe the
future state –
Outcomes,
Impact and
change we want
to achieve
Write the Plan:
• Projects
• Initiatives
• Actions
Deliver the Plan:
• Projects & Initiatives -
on time, on budget
• Actions – done

26. Alternate strategic approach
1.
Where do we
want to be in –
1, 2, 5 or 20
years?
Articulate the
Results we want
to achieve.
Build a causal
map of Results.
Design and
Select
Performance
Measures for the
Results.
Set Targets - on
measures,
selected for
improvement
effort.
Root cause
analysis.
Develop a
solution.
Implement.
Use the measure to check
for the impact of the solution.
a) What have we
learned?
b) Repeat the
process.
1. Plan
2. Do
3. Check
4. Act

27. The PuMP Performance Measure Blueprint
STEP 2STEP 1 STEP 3 STEP 4
STEP 5 STEP 6 STEP 7 STEP 8
Understanding
Measurement’s
Purpose
Fixing the focus firmly on
continuous improvement as
the purpose for
measurement.
Mapping
Measurable Results
Translating our strategy into
clear, focused, and
measurable performance
results.
Designing
Meaningful
Measures
Choosing the most feasible
and relevant measures that
evidence our performance
results.
Building Buy-In to
Measures
Getting ownership from our
stakeholders, quickly, easily
and engagingly.
Implementing
Measures
Documenting in detail the
data, analysis and reporting
requirements for each of
our measures.
Interpreting Signals
from Measures
Focusing ourselves on gaps
between as-is and to-be
performance.
Reporting
Performance
Measures
Creating useful and usable
performance reports that
inspire us to action.
Reaching
Performance Targets
Improving business
processes to move as-is
performance toward to-be.
> > >
> > >

28. Two points for
your consideration
(what I feel are too massive lost
opportunities)

29. 1. There is an opportunity to motivate through how
we use performance measures.
“Of all the things that can boost inner work life,
the most important is making progress
in meaningful work.”
The Progress Principle
Teresa Amabile and Steven Kramer, The Power of Small Wins, Harvard
Business Review May 2011

30. 1. There is an opportunity to motivate through how
we use performance measures.
"...the simplest and most effective way
you can enhance the inherent
motivation of any project, process or
work (is) by making progress visible. "
Jason Fox 2014, The Game Changer, page 95

31. The plight of the flight controllers who failed…
2. Performance improvement opportunities like this
are (most likely) lurking within your processes.
Reducing average
days from 67 to 23
saved $500,000 on a
$12,000 investment

32. What might be the ROI of investing in improving
your performance measurement system..?
Consider:
• What is the benefit to you of having people in your
organisation see the alignment of their activity with
strategy..?
• What is the benefit of not reacting to false signals
from measures..?
• How much time can be saved in meetings when
we stop arguing about measures, and focus on
what performance is actually doing..?

33. What next...
• Visit: www.staceybarr.com - heaps of free resources
• Sign up for Stacey’s “Measure Up” email
• Blueprint Workshops held regularly:
Auckland February 2020 Wellington June 2020
Brisbane March 2020 Melbourne May 2020
• In-house workshops on request
Scrap using the old bad habits.
Adopt good measurement system practice to support your planning journey
to improved performance.
Let’s connect

34. THANK
YOU.