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By the time performance results show on the bottom line a lot of damage may have been done. Below, are two diagnostic instruments that can help both to predict and to fix problems before they become severe:
1) Leading performance Indicators (Warning Signs)
2) Leading Performance Drivers
The Leading Performance Indicators (Warning Signs) instrument addresses a few of the more than 50 performance symptoms that show up before the P&L and balance sheets are effected. These can be measured objectively. High scores on this are strongly correlated with poor performance.
The Leading Performance Drivers instrument addresses some of the 100 plus causes that underlie, precede and drive corporate performance. These can only be 'measured' subjectively. But they can be easily controlled and changed. They are also Early Warning Signs. Low scores on this are strongly correlated with poor performance.
For best results, the CEO/managing officer and each member of the management team should respond, anonymously.
Leading Performance Indicators (Warning Signs): A CEO score of 55 or more and/or a team score (averaged) of 65 or more should be considered a strong warning; more than 35 is a warning.
Leading Performance Drivers: A CEO score of 50 or less and/or a team score (averaged) of 65 or less indicates (current or future) performance problems no matter what the financial numbers now say.
In both instruments, a substantial differences between the responses of the CEO and more than one member of the team is also strongly indicative.
IF STILL IN DOUBT, GIVE IT TO A FEW MIDDLE MANAGERS. (THIS MIGHT BE WORTH DOING ANYWAY.)
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