PPMS affects corporate culture
Better quality of decisions and the fast identification of improvement potential through greater performance transparency are the well-known benefits of PPMS. This will also remain an important lever in the future for improving company performance in the long run. In contrast to the major adaptations which have taken place in the telecommunications industry in recent years and, indeed, are still taking place – the creation of next generation networks and modularization of IT, just to name two – continuous change in small steps, i.e. incremental improvement, will become increasingly important for the competitiveness of companies in the future. This will require the will to change of every single member of the system “Company”. Firms must be able to motivate their employees to bring creativity and passion with them to their jobs. The performance-oriented control at all levels made possible by PPMS is a major building block to achieve this. If departments make use of performance-oriented indicators such as process costs, internal and external customer satisfaction, or error rates as overriding goals, this significantly changes the attitude of the employees. Creativity and the will to change become rewarding, success or failure become transparent at the micro level. When supported by a corporate culture which encourages boldness and allows mistakes, PPMS improves permanently the performance in companies.
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1 Cf. Baumann, S.; Hiob, R.; Vitt, G.; Meissner, A; Rivera de Sena, J.; Sajjad, J.; Alamgir, A.: Impact of Process Maturity on Business Performance, 2008.
2 Cf. Beste, T.: Was ist Leistung in der Betriebswirtschaft?, in: Zeitung für handelswissenschaftliche Forschung, Vol. 1 (1944).
3 Hoffmann, O.: Performance Management – Systeme und Implementierungsansätze, 3rd Edition, Bern – Stuttgart – Vienna – Haupt, University of St. Gallen, Dissertation, 2002.
4 The Detecon process model includes the process architecture and the process descriptions for all of the operational and strategic core processes of a telecommunications company.
5 The presentation of the calculation and linking of the performance indicators takes place at an appropriately deeper level.
Published in DMR 03/2009
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