As the project progresses, metrics should be maintained in a visible manner.
Creating a display board with metrics provides a way for the project team as well
as all employees in the value stream to see the progress. Metrics should reflect
the organization’s strategic goals and objectives. Aligning these project measurements
with the key performance indicators (KPIs) of the organization enables
the continuous improvement work to stay focused on achieving the goals of the
company.
Additional metrics may be included that have meaning to the employees in
the value stream. When listening to employees voice their concerns about issues
and opportunities during brainstorming sessions, you may identify possible metrics
that demonstrate success faster and in an easier to understand format than some
KPIs. Figure 19.5 provides a sample set of metrics for a value streamFinally, as progress is observed, the results should be conveyed to management
in a format that allows for financial impact to be understood. Because
any change that is implemented should ultimately result in improvement to the
bottom line, it is critical that metrics provide data to support and substantiate
the change, as shown in Figure 19.5.
However, when dealing with the financial impact, it may be necessary for
accountants and financial analysts to rethink the traditional ways of financial
reporting. Implementing change at a fast pace may create a situation where traditional
financial reports are misleading. The executive council must understand
these potential situations and be prepared to have the financial staff of the organization
retrained to think differently and also to strongly support the mapping
and project team.
Once the change has been implemented, your job is done … right? But what
about continuous improvement? Chapter 20 will discuss how to move your process
beyond today’s needs in preparation for tomorrow’s