Part 10 (1/2)

Using the Answer Key

A Shortcut

This chapterof the practical portion of the book We've covered a lot of theory and concepts in the first part, which should provide a foundation for doing the actual work

The Answer Key is a tool for helping ensure you have the right answer to your root question It works with the anizational iive you ideas about other areas you et the anizational improvement efforts

What Is the Answer Key?

The Answer Key starts with the defining point of any metric: the need for information, the root question The Answer Key won't work for every root question, only ones concerning the health of the organization The health of the organization covers the wide range of questions and needs we usually develop metrics for Most root questions, especially in a business, revolve around hoell the organization is functioning Most Balanced Scorecards (see the box) and questions about customer satisfaction fit under this umbrella

The Answer Key is a shortcut for many of the metrics you'll encounter It includes the anizations start hen they are seeking to iram for the first time

The Balanced Scorecard and the Dashboard The Balanced Scorecard was introduced in 1987 by Art Schneider Devices It has its most well-known proponents in Robert S Kaplan, a professor at Harvard Business School, and Dr David P Norton, a founder and director of the Palladium Group The basic concept consists of four perspectives: Financial, Custo/Growth By looking at these key areas, leadershi+p can gain a pulse of the organization through the use of ree with the concept of ”targets” and I have reservations on the Balanced Scorecard as a whole, it has strengths I have to respect The Balanced Scorecard has been used successfully by anizations and continues to be popular

The ”Dashboard” is a later promotion of metrics in a more balanced manner Created in the spirit of its namesake, it is a dynamic metric tool Like the Balanced Scorecard, the Dashboard employs multiple measures, but includes a more real-time component built around Key Perfore of ood news is that what I offer can be applied to any of these popular methods or you can embark on a personal journey where you build your own metrics from scratch

The Answer Key helps you detero with your metrics It also identifies other questions thatwith It can also help you keep fro your efforts too broadly, with no focus

The Answer Key is ht Each tier hassections will describe each of these tiers in more detail

Answer Key: First Tier

The first tier isn't sopoint Is your root question an organizational information need? Does your root question deal with inforanization; specifically, about the health of the organization? If so, your question will probably fall under one of the following two concerns: Hoell you provide services and products to your custoanization

Answer Key: Second Tier

If your root question fits within one of the first two tiers of the Answer Key, this tool will help you focus your efforts and find viablefor them But, if your question does not fit into the Answer Key, don't change your question so you can use this shortcut!

Also don't ignore the need for developing the root question first In other words, don't start with the key If you do, you'll end up short-circuiting your efforts to develop useful metrics and more importantly, to answer your questions

Tier two provides a fraic-level root questions If your root question is at the vision level, the second tier may represent actual metrics When you find your root question is based on ianization, the question is often based on a need to understand ”where the organization is” and ”where it is going” The Answer Key shows that this need for information flows into two channels, one to show the return (e get) vs our investement of resources I call these two branches ”Return vs Investure 5-1 shows this branching

Figure 5-1 The Answer Key, tiers one and two

Return vs Investment

Return vs Investanizational metrics It represents the inforanization is functioning and hoell it is run Are we doing the right things? Are we doing the right things the right way? These are key focus areas for i the ”right” things, chances are you will soon be out of business or, at the least, out of a job

If you aren't doing things the right way, you may find that you can continue to function and the business hly unlikely The best you will be able to hope for is to survive, but not thrive

Root questions around the returnour key services?

In ays can we improve our key services?

Questions around the investment may include How much does it cost us to provide our key services?

Hoell are weour resources?

As we delve deeper into the answer key, h, the breadth of your root question will detero The farther left on the Answer Key, the ic the question

State of the Union

Once you are effectively and efficiently running the business, you can turn your attention to how you e your resources The most valuable assets you have should beabout your workforce Every boss I've ever had has touted the same mantra: ”Ourto me how poorly we take care of those aders who take their BMWs to their dealers for scheduled ardless of the price of gas), and won't park anywhere near another car-yet do absolutely nothing toplans, no eram They rarely listen to their staff and devalue thereatest assets, then we should treat theanization is our ”State of the Union” address It tells us how healthy our organization is internally While Return vs Investanization is from a customer and business point of view, the State of the Union tells us how healthy the culture is

Besides the workforce, we also need to focus on the potential for our future We can deterrowth toward ic plans for our future? Are orking toward our goals?

Root questions youis the culture of recognition in our organization?