Management controls

Rapid changes in environment require constant monitoring of the activities of the company in order to detect unwanted changes as soon as possible. We assist managers in establishment and development of the system of indicators suitable for monitoring the operations of the organisation.


Five most important conclusions arising from my experience in creating indicator systems:

  1. Everything can be measured. The question is, are we clever enough to find simple and balanced solution?
  2. Without measurement our conclusions are based on assumptions, with measurement they are based on facts.
  3. Besides measurement of results, the system of indicators also has to ensure constant measurement of processes, input and external factors affecting these processes. In that case we can often pinpoint problems before they become evident in the measurement indicators. Under normal conditions only less than 10% of the system of measurement indicators are intended to measure the result.
  4. Whenever possible, the computer should be used for collection, processing and display of information. The role of people should involve making associations and drawing conclusions.
  5. System of indicators helps to improve understanding of the organisation and to make a difference between important and unimportant issues.

Contact


Sander Kallasmaa, Partner
sander.kallasmaa@btb.ee