Tuesday, July 14, 2020

Finding Balance

Key Performance Indicators (KPIs) and Balanced Scorecards are ways of managing performance. They are particularly challenging in areas that are hard to quantify and articulate. A lot of my work for money involved taking technical concepts, trying to wrap my head around them, then trying to make them easier for others to wrap their head around. Understanding is incredibly hard to quantify. Trust even more so. It takes years to build, and can be broken in an instant. Particularly if you are looking for reasons or data points to not trust someone. Everyone is holey. Everyone is flawed. A bigger flaw is looking for holes in other people. To look for reasons to distrust. The problem with KPIs is the list gets long fast. So if a task (maintain trust) is “worth 2%” of a year’s assessment, the quantifying or checklist becomes a spurious form of false confidence. Easier is to have a list of things you won’t do. Even better is to have an incredibly short list (three key things), and to trust people. Trusting doesn’t mean being a sucker. You can build buffers, checks and balances. But it does mean accepting that not everything can be controlled or quantified. It does mean building systems that aren’t designed to cut people off like gangrenous limbs.


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