Value in Aligning Performance
Performance management is a strategy and a set of methodologies and processes for managing the performance of the organization and its business network; its purpose is to achieve a common set of goals and objectives. At its core, then, performance management is about aligning day-to-day processes and activities with organizational strategy. This makes it of obvious value to savvy executives and finance professionals: It communicates to all stakeholders an agreed-upon strategy and helps align the organization around it. It provides the framework for measuring results and taking corrective action when necessary. And it increases both visibility and predictability, two characteristics often lacking from management of the organization’s performance.