13.6 - Measure and benchmark
PCF ID: 16436 | Elements: 22 | Metrics Available: N | Benchmarkable: 0
Definition
Creating and administering a strategy to manage organizational performance. Benchmark the performance of the internal processes, as well as the organization as a whole.
Overview
This process group covers measure and benchmark within the broader context of Develop and Manage Business Capabilities.
Process Hierarchy
Processes
| ID | Process | PCF ID | Sub-elements | Metrics |
|---|---|---|---|---|
| 13.6.1 | Create and manage organizational performance strategy | 11071 | 5 | N |
| 13.6.2 | Benchmark performance | 11072 | 5 | N |
| 13.6.3 | Evaluate process performance | 20147 | 8 | N |
13.6.1 - Create and manage organizational performance strategy
PCF ID: 11071
Definition: Creating and implementing a strategy for administering organizational performance. This process element calls upon the organization to create and administer a strategy for measuring, tracking, streamlining, and improving internal performance. It encompasses creating a blueprint for the tactical measurement of internal processes and work force improvement, in alignment with Employee Metrics Developed and Managed [10526].
| ID | Activity | PCF ID | Tasks | Metrics |
|---|---|---|---|---|
| 13.6.1.1 | Create enterprise measurement systems model | 11075 | 0 | N |
| 13.6.1.2 | Measure process efficiency | 11076 | 0 | N |
| 13.6.1.3 | Measure cost effectiveness | 11077 | 0 | N |
| 13.6.1.4 | Measure staff productivity | 11078 | 0 | N |
| 13.6.1.5 | Measure cycle time | 11079 | 0 | N |
13.6.1.1 - Create enterprise measurement systems model
Definition: Developing a model for organization's management systems. Develop a high-level measurement system to track performance across the enterprise or in specific functions or business units. Determine which processes to measure, which measures to use, how often to measure, and measurement targets. Review strategic decisions about how to best measure an organization.
13.6.1.2 - Measure process efficiency
Definition: Evaluating the efficiency of the organization's processes. Adapt evaluation to the activities and business components being measured. (Unlike process Measure staff productivity [11078], process Measures outcomes [11076] [e.g., how much of X is produced within X time period].) Measure a manufacturing process, for example, according to number of units produced per FTE or number of "high quality" units produced.
13.6.1.3 - Measure cost effectiveness
Definition: Measuring the cost effectiveness of the organization's processes. Track the return on investing in marketing campaigns, new equipment, and process redefinition. Measure the cost per employee or cost per cycle for a given process, function, or business unit.
13.6.1.4 - Measure staff productivity
Definition: Evaluating the productivity of employees. Measure activities performed to determine where automation could increase productivity. Identify differences between the productivity of employee groups. Evaluate the quality of work.
13.6.1.5 - Measure cycle time
Definition: Measuring how long it takes to perform certain processes or cycles of action. Select measures of customer response time, invoicing, order to cash, etc. (Actions taken based on the measurement typically exist as activities within process group Manage change [11074] or within the other function specific categories. For example, if measures indicate that the invoicing cycle is taking too long or is inconsistent, the resulting actions would take place within process Invoice the customer [10742].)
13.6.2 - Benchmark performance
PCF ID: 11072
Definition: Comparing organizational performance internally or externally with other organizations.
| ID | Activity | PCF ID | Tasks | Metrics |
|---|---|---|---|---|
| 13.6.2.1 | Conduct performance assessments | 11083 | 0 | N |
| 13.6.2.2 | Develop benchmarking capabilities | 11084 | 0 | N |
| 13.6.2.3 | Conduct internal process and external competitive benchmarking | 11085 | 0 | N |
| 13.6.2.4 | Conduct gap analysis | 11087 | 0 | N |
| 13.6.2.5 | Establish need for change | 11088 | 0 | N |
13.6.2.1 - Conduct performance assessments
Definition: Measuring, researching, and recording the performance of people, processes, mechanisms, or other areas of the business that the organization wants to benchmark or track.
13.6.2.2 - Develop benchmarking capabilities
Definition: Improving an organization's ability to compare its performance internally or externally, and maintaining benchmarking relationships with other organizations. Train staff in benchmarking. Develop technological solutions or other materials to aid benchmarking efforts. Consult with external entities to gain knowledge or tools to help benchmark.
13.6.2.3 - Conduct internal process and external competitive benchmarking
Definition: Benchmarking internal processes and against external competitors.
13.6.2.4 - Conduct gap analysis
Definition: Examining performance against benchmarked organizations or entities. Determine how much performance needs to change to meet expectations. Reach strategic goals.
13.6.2.5 - Establish need for change
Definition: Establishing a need for changing the performance of the organization. Make use of the gap analysis results in order to define the need for change.
13.6.3 - Evaluate process performance
PCF ID: 20147
Definition: Assessing process data, measures, and trends in an effort to evaluate process performance and identify possible improvements.
| ID | Activity | PCF ID | Tasks | Metrics |
|---|---|---|---|---|
| 13.6.3.1 | Establish appropriate performance indicators (metrics) | 10270 | 0 | N |
| 13.6.3.2 | Establish monitoring frequency | 10271 | 0 | N |
| 13.6.3.3 | Collect data | 20148 | 0 | N |
| 13.6.3.4 | Calculate performance measures | 10272 | 0 | N |
| 13.6.3.5 | Identify performance trends | 10273 | 0 | N |
| 13.6.3.6 | Analyze performance against benchmark data | 10274 | 0 | N |
| 13.6.3.7 | Prepare reports | 10275 | 0 | N |
| 13.6.3.8 | Develop performance improvement plan | 10276 | 0 | N |
13.6.3.1 - Establish appropriate performance indicators (metrics)
Definition: Designing key measures that analyze and interpret how effectively the business is achieving its objectives.
13.6.3.2 - Establish monitoring frequency
Definition: Deciding on the appropriate amount of supervisions that are needed to effectively assess the performance of business plans.
13.6.3.3 - Collect data
Definition: Consolidating acquired metrics and trends. Provide data that can be benchmarked against historical data.
13.6.3.4 - Calculate performance measures
Definition: Measuring the performance of process planning. Quantify the performance, record results of the performance tests, and report them to the appropriate authority.
13.6.3.5 - Identify performance trends
Definition: Recognizing the trends in performance. Carefully and strategically assess the results in order to effectively spot the trends.
13.6.3.6 - Analyze performance against benchmark data
Definition: Evaluating the gaps between achieved and benchmarked performance. Analyze how performance differs from the optimal or expected performance.
13.6.3.7 - Prepare reports
Definition: Creating reports that systematically record and represent the performance planning. Construct a detailed report specifying the performance, and include indicators such as the performance gaps, performance trends, and analysis.
13.6.3.8 - Develop performance improvement plan
Definition: Using performance indicators to report, analyze, and create a detailed performance improvement plan to bridge the performance gaps.
Change Summary (v7.2.1 vs v6.1.1)
Changes indicated by:
+XXXXX- New element added-XXXXX- Element removedcXXXXX- Element changedNEW- Newly introduced
Complete Element List with Definitions
All 22 elements
| ID | Name | Definition |
|---|---|---|
| 13.6 | Measure and benchmark | Creating and administering a strategy to manage organizational performance. Benchmark the performanc... |
| 13.6.1 | Create and manage organizational perform... | Creating and implementing a strategy for administering organizational performance. This process elem... |
| 13.6.1.1 | Create enterprise measurement systems mo... | Developing a model for organization's management systems. Develop a high-level measurement system to... |
| 13.6.1.2 | Measure process efficiency | Evaluating the efficiency of the organization's processes. Adapt evaluation to the activities and bu... |
| 13.6.1.3 | Measure cost effectiveness | Measuring the cost effectiveness of the organization's processes. Track the return on investing in m... |
| 13.6.1.4 | Measure staff productivity | Evaluating the productivity of employees. Measure activities performed to determine where automation... |
| 13.6.1.5 | Measure cycle time | Measuring how long it takes to perform certain processes or cycles of action. Select measures of cus... |
| 13.6.2 | Benchmark performance | Comparing organizational performance internally or externally with other organizations. |
| 13.6.2.1 | Conduct performance assessments | Measuring, researching, and recording the performance of people, processes, mechanisms, or other are... |
| 13.6.2.2 | Develop benchmarking capabilities | Improving an organization's ability to compare its performance internally or externally, and maintai... |
| 13.6.2.3 | Conduct internal process and external co... | Benchmarking internal processes and against external competitors. |
| 13.6.2.4 | Conduct gap analysis | Examining performance against benchmarked organizations or entities. Determine how much performance ... |
| 13.6.2.5 | Establish need for change | Establishing a need for changing the performance of the organization. Make use of the gap analysis r... |
| 13.6.3 | Evaluate process performance | Assessing process data, measures, and trends in an effort to evaluate process performance and identi... |
| 13.6.3.1 | Establish appropriate performance indica... | Designing key measures that analyze and interpret how effectively the business is achieving its obje... |
| 13.6.3.2 | Establish monitoring frequency | Deciding on the appropriate amount of supervisions that are needed to effectively assess the perform... |
| 13.6.3.3 | Collect data | Consolidating acquired metrics and trends. Provide data that can be benchmarked against historical d... |
| 13.6.3.4 | Calculate performance measures | Measuring the performance of process planning. Quantify the performance, record results of the perfo... |
| 13.6.3.5 | Identify performance trends | Recognizing the trends in performance. Carefully and strategically assess the results in order to ef... |
| 13.6.3.6 | Analyze performance against benchmark da... | Evaluating the gaps between achieved and benchmarked performance. Analyze how performance differs fr... |
| 13.6.3.7 | Prepare reports | Creating reports that systematically record and represent the performance planning. Construct a deta... |
| 13.6.3.8 | Develop performance improvement plan | Using performance indicators to report, analyze, and create a detailed performance improvement plan ... |
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