Performance Measurement Is Not a CYA Activity

— by taylor (4 min read)
Here are a few lines from the recent Forbes article, ‘If You Can’t Measure It, You Can’t Manage It’: Not True, by Liz Ryan:
“Measurement is our drug in the business world, because we believe that by measuring everything and sending the good news upstairs to the C-suite we can ward off the bogeyman of business, namely Getting On the Boss’s Bad Side. Measurement is our favorite CYA activity. It’s an inherently fear-based process, because the reason we measure everything in business is to prove to someone who’s not in the room that we did what they told us to do. … Measurement is our opiate of choice in the business world precisely because it temporarily allays fear all the way up the ladder.”
Yeesh! There’s no mistaking Ms. Ryan’s contempt for much of the measurement being done in today’s business world. My own feelings about measurement—and her opinion of it—aren’t nearly so black and white.

On the one hand, I wholeheartedly agree with the spirit of what she’s written. Measurement as a CYA activity is a colossal waste of time, energy and focus. On the other hand, I completely disagree with the way that she has characterized measurement—especially when I think of it in the context of performance measurement.
  •  Performance measurement is not about sending good news upstairs to the C-suite. It’s about keeping our leaders honestly informed of the performance of our individuals and teams. Sure, some of the news will be good. But, if we’re doing our jobs well, much of what we report will be about critical skill gaps, talent shortfalls, training and development needs, turnover forecasts—in short, the “bad news” our senior leaders need to proactively manage the business in a truly strategic fashion.
  •  Performance measurement is not inherently fear-based for many organizations. It’s a process driven by the need to have our people achieve specific goals and deliver specific outcomes. These goals and outcomes are tied directly to the company’s competitive position and its ongoing success. Savvy employers don’t rely on fear to “motivate” people; they give their workers the feedback, guidance and developmental mentoring that will enable them to excel. Engagement, not fear, is inherent in sound performance measurement.
  •  Performance measurement is not an opiate meant to sedate us. Quite the opposite. Performance management is meant to be a wake up call, when necessary—a cold dose of reality that opens our eyes to our own shortcomings and weaknesses. But it’s also meant to keep us aware of everything we’re doing well. We need both sides of the story to build performance-driven, winning cultures. Information is the key, and a great deal of this vital information comes out of the performance measurement process.
Again, I understand and agree with the larger point that Ms. Ryan was making about the business practice of mindlessly “measuring everything.” And I understand that some employers still haven’t gotten everything right when it comes to performance measurement.
But I also believe there’s only one way we’ll all get better at managing and maximizing the performance of our people—by measuring it and then taking action either to support or change it.