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Submitted by lee1 on January 24, 2006
Category: Book Reports
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Abstract
Performance measurement is essential within organizations today, and is integrated with prioritizing work. It identifies and measures those activities that are important to serving both internal and external customers. Measures help management manage by fact. Knowing when to perform the performance measurements and when and what performance development measurements data to routinely capture for predictive maintenance is a must in order to be effective and eliminate preventative failures. The purpose of this paper is to compare and contrast two case studies based on the required simulations, Applying Systems Thinking in Managerial Decision Making and Using Performance Metrics. Based on the data within these case studies, we will explain the indicators of organizational performance. We will propose and assess metrics for measuring the organizational performance and establish standards for measuring the organizationˇ¦s success. Also, we will apply systems thinking to evaluate the impact on the selected performance measurements. Finally, though analysis, we will illustrate the impact of performance enhancement in one part of the organization on other parts.
Organizational Performance Analysis
Performance Indicators
Once an organization has analyzed its mission, identified all its stakeholders, and defined its goals, it needs a way to measure progress toward those goals. Performance indicators are those measurements. Whatever performance indicators are selected, they must reflect the organizationˇ¦s goals, they must be the key to its success, and they must be quantifiable. The following will identify the performance indicators for both case studies:
Case 1 - Applying Systems Thinking in Managerial Decision Making
The issue for Thistle Woods Hospital was spacing in the emergency department. There were not enough beds to accommodate patients being admitted, and the task was to identify the problem area...
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