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Hi. I need help in explanation and example to differentiate between performance measures and performance standards. Some model answers from past years seem to have different criteria in setting performance measures (smart concept) and performance standard (using building block e.g. fair ownership & achievable), so I guess they are different but I frankly dont understand why they are different. Thanks
In my book, a performance measure is anything you measure related to performance: cost/unit, wastage, idle time, sales volume, complaints, new products launched. Sometimes the term ‘performance standard’, is used in the sense of ‘performance target’, to denote what performance should be eg that complaints should be less than 2%.
However, ‘Performance standard’ is used in a different sense in the building block model where it means the desirable qualities of a good standard: achievable, ownership, fair etc. Really that is what SMART gives you too as to be effective a target should be SMART.
HTH
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