How We Serve You : White Papers
Ten Rules for Developing Management Metrics
Rule 10: Measures Must Provide Balance
The measures selected should reflect the overall health of the company and consist of a balanced mix of financial and non-financial metrics.
It is important to select and use only the measures that are key for obtaining the required results. As a rule of thumb, no more than fifteen measures should be used at any level of the company.
The use of fewer measures provides more focus for activities. Using a large number of measures causes a focus on the data collection mechanism as opposed to the activities needed to respond to the data.
