1. 1 How to use Performance Measures to tell a meaningful story Tom Holland, Management Associate ICMA Center for Performance Measurement www.icma.org/performancewww.icma.org/performance; www.icma.org/ncs; www.icma.org/ncs www.icma.org/performancewww.icma.org/ncs202/459-4521

2. 2 Introduction: 1. The two schools of Performance Measurement 2. Evidenced-based Leadership 3. Keep analysis simple: NASA Challenger example 4. Performance measurement examples

3. 3 The Two Schools of Performance Measurement What managers might say: “Embarking on performance measurement…. Enthusiastic….help us explain to citizens what we do on their behalf…” What many employees hear…

4. The Two Schools of Performance Measurement 4

5. The “Gotcha” school versus the…  Perspective of a front-line employee  “A park where I’m proud to bring my family…”  “I want this to spread like a virus throughout the organization…” 1. Culture of outcomes 2. From perspective of resident 3. Positive, internal motivation 5

6. 6 Performance-Based Evidence as a Key Ingredient to Your Leadership & Management Great Leadership (Jim Collins; Pfeffer & Sutton): Establish “piercing clarity” of mission Establish “piercing clarity” of mission “Rigorously assemble evidence” [performance measures] “Rigorously assemble evidence” [performance measures] Apply rigorous logic, thinking & questioning Apply rigorous logic, thinking & questioning -- Pfeffer & Sutton (2006) “Evidence-based Management,” Harvard Business Review, January 2006; reprinted with permission in ICMA’s Public Management magazine (September 2007).

7. 7 Performance-Based Evidence as a Key Ingredient to Your Leadership & Management Performance-Based Evidence as a Key Ingredient to Your Leadership & Management Seven Key Diagnostic Questions* A. Establish “piercing clarity” of mission: 1. Are we doing the right “what”? Who is “we”? 2. According to whom? 3. Why be high performance? What is at stake? …and, therefore, what outcomes and results do we need to achieve? …and, therefore, what outcomes and results do we need to achieve?_________ *Senior Executive Institute, University of Virginia, www.ccps.virginia.edu; Commonwealth Centers for High Performance Organizations, www.highperformanceorg.com www.ccps.virginia.eduwww.highperformanceorg.com www.ccps.virginia.eduwww.highperformanceorg.com

8. 8 Seven Key Diagnostic Questions B. Rigorously assemble evidence: 4. How do residents view our performance? …fellow employees? performance? …fellow employees? 5. Are we good at it? How good are we? 6. How would we know if we were? 7. What is the appropriate level of performance for us? Sidebar: The importance of methodologically rigorous citizen surveys

9. 9 Performance-Based Evidence as a Key Ingredient to Your Leadership & Management Performance-Based Evidence as a Key Ingredient to Your Leadership & Management …And one set of action steps: C. Apply rigorous logic & questioning: 8. How do we improve? What real or assumed constraints get in the way? What can we learn and apply from high performers? [“Best” is not monolithic: (1) top overall, (2) best at leveraging, (3) best pct. improvement.] What can we learn and apply from high performers? [“Best” is not monolithic: (1) top overall, (2) best at leveraging, (3) best pct. improvement.] How do we avoid “mindless mimicry?” How do we avoid “mindless mimicry?” How do we get the flywheel to turn a 2 nd time? How do we get the flywheel to turn a 2 nd time?

10. 10 Performance-Based Evidence as a Key Ingredient to Your Leadership & Management Performance-Based Evidence as a Key Ingredient to Your Leadership & Management Great Leadership: “….What matters is not finding the perfect indicator, but settling upon a consistent and intelligent method of assessing your results, then tracking your trajectory with rigor.” -- Jim Collins (2005) Good to Great and the Social Sectors, p. 8

11. NASA Challenger example January 28, 1986, the space shuttle Challenger exploded shortly after launch January 28, 1986, the space shuttle Challenger exploded shortly after launch Seven Astronauts died because two rubber O- rings leaked due to cold temperatures Seven Astronauts died because two rubber O- rings leaked due to cold temperatures 11

12. NASA Challenger example Graphs used in the decision making process were difficult to interpret. Graphs used in the decision making process were difficult to interpret. 12 -- Edward Tufte (1997) Visual and Statistical Thinking : Displays of Evidence for Making Decisions, p. 24

13. NASA Challenger example 13 -- Edward Tufte (1997) Visual and Statistical Thinking : Displays of Evidence for Making Decisions, p. 25

14. NASA Challenger example A simple scatter plot demonstrates how far out of range the proposed launch temperatures were. A simple scatter plot demonstrates how far out of range the proposed launch temperatures were. Lesson: Keep It Simple! Lesson: Keep It Simple! 14 -- Edward Tufte (1997) Visual and Statistical Thinking : Displays of Evidence for Making Decisions, p. 23

15. Performance Measurement Examples AZ Performance Consortium Dashboard workshops held in June. Sample jurisdiction data 15

16. Performance Measurement Examples 16 Retrieved online July 14, 2009 from http://dashboard.cityofalbany.net/Dashboard/Pages/Report.aspx

17. Performance Measurement Examples 17 Retrieved online July 14, 2009 from http://dashboard.cityofalbany.net/Dashboard/Pages/Report.aspx

18. Performance Measurement Examples 18 Retrieved online July 14, 2009 from http://www.cityofvancouver.us/upload/contents/582/2008%20Performance%20Report.pdf

19. 19 How to use Performance Measures to tell a meaningful story Tom Holland, Management Associate ICMA Center for Performance Measurement www.icma.org/performancewww.icma.org/performance; www.icma.org/ncs; www.icma.org/ncs www.icma.org/performancewww.icma.org/ncs202/459-4521

20. 20 Appendix: Overview of ICMA-CPM [FYI only: This section will not be part of the formal presentation but is provided for those who may wish to have additional information on ICMA-CPM] [FYI only: This section will not be part of the formal presentation but is provided for those who may wish to have additional information on ICMA-CPM] Over 200 cities & counties (and growing) Over 200 cities & counties (and growing) All sizes (urban, suburban, rural) All sizes (urban, suburban, rural)

21. 21 Mission Improve effectiveness & efficiency…through the collection, analysis and broad-based application of performance information for managerial and organizational leadership Improve effectiveness & efficiency…through the collection, analysis and broad-based application of performance information for managerial and organizational leadership

22. 22 How is mission accomplished? Defining indicators Defining indicators Collecting comparative data Collecting comparative data Ensuring consistent set of data Ensuring consistent set of data Employing rigorous data cleaning Employing rigorous data cleaning Providing citizen surveys Providing citizen surveys Annual data report Annual data report

23. 23 How is mission accomplished? Facilitating analysis and assisting participating jurisdictions Facilitating analysis and assisting participating jurisdictions Web (e-database; rosters) & workshops Web (e-database; rosters) & workshops Statewide performance consortia (14 so far) Statewide performance consortia (14 so far) “What Works:” Identification of effective practices “What Works:” Identification of effective practices For more information, visit www.icma.org/performance; www.icma.org/ncs For more information, visit www.icma.org/performance; www.icma.org/ncs www.icma.org/performancewww.icma.org/ncs www.icma.org/performancewww.icma.org/ncs