Accounting Behaviour Performance Measure

2.6 Performance Measures

It is absolutely necessary that you measure your sales branch managers performance so that they can really comprehend their job, and be competent in their tasks. Sales branch managers might not comprehend long term vision of Bossam as they are use to short term goal setting and might try to resist accepting the new performance measures.

Accordingly, measuring performance should not be used as a basis for punitive tool; it should be used as a way to recognise people for their performance, and it gives sales managers a strategy for positively reinforcing the behaviour in achieving desirable outcomes from the employees. When performance measures are set, they should be SMART (specific, measurable, attainable, relevant and timely) 1[Jerry L. Harbour, 1997]

Specific

Performance measures must be clearly outlined. When performance measures are specific, they convey the message to sales managers what the objectives are. 2[Bizmanualz, 2008] When performance measures are specific, Bossam would be able to evaluate the performance towards the end of the given period.

Measurable

What is the pupose of having an performance measure that cannot be measured? If the performance measures are not quantifiable 3[Janet M. Kelly, William C. Rivenbark, 2011] we would not know whether the sales managers have made any progress at the end of the period. Futhermore, it would be tough for your employees to stay motivated to complete their goals when they have no milestones to indicate their progress.

Attainable

Performance measures can be challenging but must be attainable 4[Christopher S. Chapman, 2005] by average employees. The best goals require employees to stretch a bit to achieve them, but they aren't extreme. That is, the goals are neither out of reach nor below standard performance. Measures that are set too high or too low become pointless and employees will ignore those performance measures.

Relevant

Performance measures should be...