A smart solution to formulate organisational strategies and enable decision making processes
Discover, measure and analyse your processes to continually improve them. Enhance quality and efficiency by tracking relevant KPIs and plotting out proper courses of action for your business.
A smart solution to formulate organizational strategies and enable decision making processes
Corporate Performance Management (CPM) refers to a tool used by corporations to formulate organisational strategies through prescribed methodologies, data analysis, processing, and reporting to monitor and manage the performance of an enterprise. In other words, CPM helps corporations use proven and tested methods and processes to improve their business management. CPM are interchangeably named Performance management software or Performance management Solution (PMS)
According to Gartner: “Corporate performance management (CPM) is an umbrella term that describes the methodologies, metrics, KPIs, processes and systems used to monitor and manage the business performance of an enterprise. Applications that enable CPM to translate strategically focused information to operational plans and send aggregated results. These applications are also integrated into many elements of the planning and control cycle, or they address BAM or customer relationship optimization needs. CPM must be supported by a suite of analytical applications that provide the functionality to support these processes, methodologies and metrics.”
Although CPM is misleadingly described as a business intelligence, its concept is straightforward. The CPM output is vital to the organization in ensuring to maintain its key metrics and KPIs to improve its outcome and subsequently build capability of agility and resilience.
Importance of Corporate Performance Management Software
In the era of business management intelligence, corporations must embrace processes automation. Here are some of the benefits of adopting a CPM solution like MetrixPlus.
SOURCES OF METRICS
Information used in the creation of CPM metrics originates from data laying in databases or manually captured from concerned personnel. Those data could contain transactions processed for specific services or information generated from accounting books such as cash flow statements, balance sheets, and income statements. Other sources may include planning, budgeting, and forecasting data, which contain reports such as resource planning, including human resources, services transactions, and financial aspects. Once sources of metrics are identified the KPIs can be formulated.
Therefore, companies should put in place viable frameworks to ensure there is actual performance management and to implement a dynamic CPM solution like MetrixPlus to enable the decision-making process with data on-time according to the updated framework. Below are common frameworks.
Balance Scorecards: A collection of several organisations’ viewpoints
EFQM Excellence Model: A framework that bases strategies on how a competitive organisation should operate. This includes several Government Excellence Programs such as:
The strength of MetrixPlus comes from the ability to adopt any framework without the need for IT development skills. The features of building views are vital for strategy management because strategy is about continuous improvement processes for the whole organisation.
HUMAN PERFORMANCE MANAGEMENT (HPM) VS. CPM
Sometimes in corporate management, it is not apparent what strategic managers mean when they refer to performance management. Although this might create confusion with other systems and impose a differentiation between human performance management (HPM) and corporate performance management (CPM). MetrixPlus enables organisations to define any element (Process, employee, department, service, application, etc.) and easily identify the KPIs related to this element and manage it.
However, and for a matter of clarification, the HPM, performance management refers to the performance of human resources. It pertains to employees’ productivity, their level of satisfaction, employees’ turnover, or their operational capabilities. On the contrary, CPM is about how to communicate, align, and deliver actionable strategies through strategic frameworks, as discussed earlier. Therefore, it’s important to clarify the context of performance management in the discussion.
HOW TO AVOID CORPORATE PERFORMANCE MANAGEMENT PITFALLS
When a company communicates effective performance management across the organisation, it must draw critical expectations, as well as expected results. However, this does not always happen smoothly, depending on the dynamicity of the selected solution. As a result, CPM faces significant challenges that need remedies in the initial stage as outlined below.
Strategic alignment with organisational context
This refers to ensuring that every part of the organisation’s processes and all vital elements are aligned with the primary objective such as initiatives, projects and program management, risk management, services, employees, etc.
A poorly executed CPM will mean absolute failure. That’s why a corporation should establish an accessible, elaborate, and dynamic Performance Management Software. A PMS like MetrixPlus is capable of automating the collection of data using a low-code workflow engine. A PMS that easily integrates, processes, and reports as per proposed standards.
Companies should not just use existing strategies without even focusing on their unique strategies. They should instead focus on articulating their primary goals across the corporations so that CPM and all stakeholders are in line with the set strategies. That is why it is again important to select a CPM like MetrixPlus that is capable of building views according to end-user requirements.
Collection of Key Performance Questions (KPQ)
Though derived from KPIs, KPQ is about collecting meaningful, relevant, and usable data by asking the right questions of the proper departments and sources. This is achieved easily by MetrixPlus through a form builder and workflow engine that automate the collection of data on-time.
Fostering a positive learning environment
Once data has been collected, analysed, and interpreted, the next course of action is using the information in meaningful ways. That is, ensuring that organisations have empowered relevant departments to use, correct, and improve areas suggested by CPM metrics and KPIs.
HOW TO CHOOSE AN EFFECTIVE CPM SOFTWARE SOLUTION
With the wide range of options in the market, it can be difficult to choose high-performing CPM software. Therefore, below are two fundamental elements to consider when shopping for a CPM solution.
Flexibility and adoption of change
Look for a product that delivers your requirements and is flexible to adopt changes in the future. Concentrate on the features and outcomes that the CPM will provide you.
A product from a reputable organisation
A good product must have positive feedback because it drives satisfaction. The opposite is also true for an average product. However, there is an exception to this rule. Some companies may have a great product, but they are relatively new in the market and have yet to receive some feedback. The best way to move forward, in this case, is to use their trial version before committing to purchasing the full package.
MetrixPlus is an evidence-based corporate solution that enables decision making, monitoring goals, processes, services, employees and systems using innovative methodologies, and metrics for large organisations.
It enables organisations to capture context, correlate diverse internal elements and link them to well-defined metrics and results. MetrixPlus enables a proactive practices, manage the full cycle of Strategy-to-Execute including a robust management review, and automated SLAs to assign accurate roles roles and responsibilities to departments and employees, all with the help of AI algorithms.