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Subject: IT Performance
Tutorial: Introduction To IT Performance
Management And Measurement
1. Performance management improvements are
often implemented in concert with other management
IT Performance management initiatives are often
implemented by organizations that want to fundamentally
shift the focus of management decision-making from a
preoccupation with staffing levels and costs to a balanced
focus including key "outcomes". Outcomes are
results expressed in terms of the real difference that an
organizationís work makes on the way business is conducted
and what the organization achieves.
To accomplish this, organizations sometimes undertake a
radically different approach to planning and management.
This can include development of:
- Strategic Plans, containing (1) a mission statement,
(2) a set of strategic goals covering the
organizationís major business areas / programs and
functions that are linked to the responsibility /
program activity structure in the budget, and (3) a
description of how the organization intends to
achieve these goals.
- Annual Performance Plans that link the strategic
goals and business objectives with the day-to-day
activities. These plans are developed as part of the
budget preparation process, become key factors in
making budget decisions, and are adjusted to reflect
budget decisions (e.g., if the IT organization
planned and proposed to implement 5,000 NT
workstations and senior management decided to
provide funding for only 2,500, the plan would be
reduced to 2,500).
- Performance Reports, accompanying the annual budget
request, to senior management. This tells management
what was actually accomplished during the preceding
- An IT Investment Management Approach is adopted to
assure the "best" IT decisions are made.
(See our tutorial, "The
IT Investment Management Approach", for
more information on this topic.)
Introduction To IT Performance
Management And Measurement, Lesson 9 of 13