Organizational Performance Measures Best Practice 3 – Common Construction Characteristics
The benefits of vertically cascaded and horizontally shared performance measures are maximized when the related measures share a common set of characteristics. Common construction of vertically cascaded measures enables easy roll-up of lower tiered measures to create higher tiered benchmarks. Horizontally shared measures having similar construction characteristics are more readily comparable, thus enhancing the evaluation and decision-making processes.
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Additional Information
Additional information regarding organizational performance measure construction can be found in the StrategyDriven whitepaper series Organizational Performance Measures.
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