| Cost management performance |
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Companies frequently embark on change programs with the underlying belief that certain changes in organisational culture and behaviour will have a direct impact on their ability to improve business performance. Performance Mapping was developed to test these beliefs and understand what really drive performance improvements. We use a combination of data mining to identify apparent underlying relationship patterns and trends followed by rigorous testing to establish the strength of relationships between people and performance improvement, including lead and lag indicators. Executives need to make decisions about where to apply scarce resources to deal with people’s resistance to change. This can only be done effectively if they really know specifically where problems lie. In the absence of such information, blanket interventions are often applied across an organisation to address perceived problems. Working with 57 work groups, 3 ChangeTracking points and 5 years of financial data, Performance Mapping identified factors most critical to good cost management. Accountability, as expected, was found to be a key factor. Surprisingly, positive feelings in the team was an equally important driver in those work groups consistently achieving under-budget performance. |
