There was a time when managing a project meant managing a project.

You know.

Cost.

Time.

Quality.

Safety.

The usual boring stuff.

Then someone discovered KPIs.

Key Performance Indicators.

Beautiful invention by consultants paid by the slide.

And who have never actually managed a project.

They design 47 KPIs.

Each with a definition.

A formula.

A weighting.

A threshold.

And a 93-page document explaining how they work.

Or how they're supposed to work…

Of course, nobody really knows… but they shut up because the consultants are the “experts”.

And by the way… everyone agrees the KPI are international best practice.

Excellent.

Construction starts.

And a few fascinating things happen.

First.

Nobody can agree on what the KPIs actually mean.

So we need lawyers.

Second.

Nobody can agree on how to measure them.

So we appoint an Independent Performance Assessor.

Not included in the original budget, naturally.

Third.

The Independent Assessor needs assistance.

Because, apparently, interpreting 47 indicators requires more people than actually delivering the project.

So we appoint another consultant.

And perhaps a committee.

Committees are always reassuring.

Fourth.

The contractor discovers that improving the KPI score is easier than improving actual performance.

And considerably more profitable.

So everyone starts managing the indicators.

Not the project.

A magnificent achievement… thanks Power Points… we own you a lot.

Fifth.

The KPIs produce consequences that nobody anticipated.

Except, of course, anyone with two functioning brain cells and six months of construction experience.

But those people weren't invited to the workshop.

They were too busy building things.

Sixth.

A disagreement arises.

Is the KPI 82.4% or 83.1%?

Nobody knows.

But the difference triggers a payment deduction.

So we have a dispute.

Then another.

Then another.

Eventually, the lawyers are performing better than the project.

Perhaps we should introduce KPIs for the lawyers.

Seventh.

Someone finally calculates the cost of the entire system.

The assessors.

The reporting.

The audits.

The meetings.

The consultants.

The disputes.

The lawyers.

And the people spending half their working lives feeding the magnificent machine.

Turns out we've spent more money measuring performance than the performance improvements were ever worth.

But don't worry.

The dashboard is green.

Ah… by the way… The people who designed the KPIs?

Long gone.

Probably designing another framework somewhere else.

Using the lessons learned from this one.

Which, naturally, nobody has learned.

Here's a revolutionary idea.

A KPI should help you manage a project.

Not create another project to manage the KPI.

It should be objective.

Measurable.

Relevant.

Economically sensible.

And understood by the people who will actually live with its consequences.

Apparently, this is controversial.

If you're a CEO, Project Director or Board Member about to approve another magnificent KPI framework, perhaps it's worth having someone challenge it before you sign.

Someone who has actually lived with these things.

If that resonates with you, you know where to click.

$49.90 VILENTIA ACCESS Before You Send. Direct access to experienced judgement before you send the letter, accept the change, present the Board... Read more Book A Call NOW

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