Picking Great Metrics for Your Teams
To set expectations with your teams, a great metric can make all the difference for team members to understand what’s clearly expected of them.
What should we be thinking about when we pick our metrics for our team?
- Is the goal achievable? Setting the metrics where you really want to be the first month might not work as well as stepping stones to get there.
- Can the team member easily understand the metric? While the Accounting department may understand a labor efficiency percentage, something simpler like parts produced per hour might be better on the shop floor, even if it’s not perfect.
- Could the metric lead to unwanted behavior? Parts per hour could lead a plant to make unneeded parts that are the easiest to make. Consider a second metric to balance out potential abuse. On time delivery paired with parts per hour for instance.
- How easily can the data for the metric be gathered? Something that can be autogenerated or easily calculated, posted and monitored daily might be better than something more precise that can only be done at month end.
Great teams love to be measured, just be sure choose the right things to put on the scoreboard.
For help with metrics and the data to calculate them, contact us at Peak www.peakbusinessnavigation.com
