Performance Management

As part of its implementation of the Balanced Scorecard method of performance appraisal, the directors of Bretton Tallis have met to discuss the key question: ‘Can we continue to improve and create value?’ The company, which is engaged in the manufacture and sale of replacement windows and doors, faces tough competition: recent entrants to the market have introduced a range of innovative product improvements, with the result that Bretton Tallis’s product range is starting to look old-fashioned. The directors conclude that the company can continue to improve and create value only if it takes urgent steps to improve the quality and design of its product ranges. Two specific goals are identified: to promote the rapid development of new plastics (in order to produce better and more distinctive products), and to create conditions in which innovative design can flourish.

For each of these goals suggest four performance measurements that could assist the company’s directors in assessing progress towards the goals.

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