9.2. Using Metrics to Measure Your Progress

Suppose you used the approach outlined above, that is, a hierarchy of objectives and strategies to build your plan. The problem management function must compete with other business functions and business units for finite capital and operations and maintenance (O&M) dollars. When you request capital dollars for a new project or request an increase in your O&M budget, you generally have to explain why the organization should invest the money in your project, rather than elsewhere in the company. Your plan shows very clearly the benefits you are attempting to achieve. Those benefits are usually expressed in terms of increased revenue, decreased costs, or improved service levels, which are all measurable objectives.

That is one of the reasons your objectives must be measurable and time bound. Suppose you received all of the requested capital and O&M for one of your high-level objectives and you have begun to implement the supporting strategies. If you can't measure your progress toward the objective, then that objective is meaningless because you have no way of knowing whether you need to take corrective action or not. The point is that when you state an objective, make sure you express it in such a way that very precisely defines what you want to achieve and over what time period. For example, you may have an objective to reduce the average price per call by $5 by December 31. You can measure and show your progress toward achieving that objective.