Organizational Performance

            The organization's mission guides organizational performance. The mission should state the organization's purpose and be well-known to the organization's shareholders. Leaders can share stories about how the organization's mission has been successful. Stories are a compelling way to teach new people the values of the organization. An organization's culture is developed through these narratives (Meyer, J. 1995). Organizational culture will develop commitment in its members.

            Organizations use key performance indicators to track performance. Key performance indicators can be used throughout the organization to track inventory, sales, production, marketing, customer satisfaction, and stocks. KPIs help an organization track growth daily, weekly, monthly, and yearly.

            Focusing on KPIs may entice leaders to use shortcuts to achieve growth in metrics.Shortcuts may cause problems if they lead to poor quality in manufacturing or poor customer service. Key Performance Indicators need reliable data for the organization to have accurate performance expectations (Issar et al., 2016, p. 73). Education on the value and mission of the organization can help employees understand the proper way to use key performance indicators. The focus should not only be on achieving metrics but also on keeping the company's values.

            The best practice of organizational performance is achieving success while holding true to the organization's values. Organizational culture instills integrity in the employees while achieving goals measured by key performance indicators.

 

References:

Арцибашев, A. (2021) Photo by Алекс Арцибашев

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Issar, G., & Navon, L. R. (2016). Operational excellence: A concise guide to basic concepts and their application. Springer International Publishing AG.

Meyer, J. (1995). Tell me a story: Eliciting organizational values from narratives. Communication Quarterly43(2), 210–224. https://doi-org.ezproxy.lib.ou.edu/10.1080/01463379509369970