David Parmenter

About David Parmenter

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So far David Parmenter has created 21 blog entries.
My vision is to change how leading organisations, around the world, measure and manage performance – by 2030
1911, 2019

40+ Rules to Get Your KPIs To Deliver

Category
Wisdom

About KPIs
1.      There are four types of performance measures and thus it is a myth to consider all measures are KPIs.

About KPIs
2.      Key performance indicators (KPIs) are those indicators that focus on the aspects of organizational performance that are the most critical for the current and future success of the organization.

About KPIs
3.      KPIs have seven characteristics

About KPIs
5.      If the CEO, members of the senior management team, and management focus on the KPIs every day, staff will naturally follow suit.

About measures
6.      An organization, with over 500 FTEs, will have about 10 KRIs, up to 80 RIs and PIs, and 10 KPIs.

About measures
7.      Lead and lag labelling of measures is misleading

About measures
8.      Have a mix of 60% past, 20% current and 20% future orientated measures

CSF
9.      The main purpose of performance measures is to ensure that staff members spend their working hours focused primarily on the organization’s critical success factors.

CSFs
10.   To create alignment between teams in an organization, it is important that there be only one set of between five and eight critical success factors (CSFs) for the organization.

CSFs
11.   To ensure that staff live and breathe them, a poster of the CSFs should be prepared and be widely seen around the work environment.

Designing measures
12.   In order for staff to help the KPI team to determine measures, we need to train everybody in the rules for designing measures.

Designing measures
13.   Designing and refining measures needs a systematic and well thought through process to ensure that the measures will promote the desired actions.

Designing measures
14.   The CEO needs to make it clear that no measures are to be introduced without the KPI team approval.

Designing measures
15.   Vet measures by holding an open session where staff members are invited to share their views on the shortlisted measures displayed on the walls of the KPI project room (known as a performance measures gallery).

Engagement
16.   The KPI project needs to report its wins to the SMT each week to maintain their interest in the project.

Engagement
17.   Staff need to be first trained in the new thinking of what are KPIs, why not all measures are KPIs, the four different types of measures, and the importance of an organization knowing their CSFs.

KPI project
18.   The success of a KPI project rests with trained home-grown staff who have been reassigned so that they are full time on the project.

KPI project
19.   For SMEs the in-house KPI team leader must have at least half the daily operational activity reassigned so that the incumbent has a chance to focus and create some momentum in the KPI project.

KPI project
21.   The KPI team should report directly to the CEO

KPI project
22.   The CEO needs to locate an external facilitator to mentor the in-house KPI team.

KPI project
23.   The external facilitator and the KPI project leader need to instil a “just-do-it” culture

KPI project
24.   Success or failure of the KPI project is determined by the presence or absence of the seven foundation stones

KPI project
25.   No KPI project will ever succeed without a guiding coalition of oracles behind it.

KPI project
26.   Delivering compelling PowerPoint Presentations is a skill that the KPI team will have to have mastered before they deliver any presentations or workshops.

KPI project
27.   The CEO must be the central driver, carrying around the embryonic KPIs all the time, talking about their importance frequently to all staff they meet.

KPI project
28.   The KPI project proposal presentation will be one of the most important presentations in the KPI TEAM leader’s working life.

KPI project
29.   Management will need to abandon projects, processes and reports to make time for the KPI project.

Maintaining interest
30.   For organizations with fewer than 500 staff, a total KPI rollout in 16 weeks is achievable.

Maintaining interest
31.   For SMEs with 100- 250 staff, a total KPI rollout in 10 weeks is achievable.

Maintaining interest
32.   For SMEs with less than 100 staff, a total KPI rollout in 6 weeks is achievable.

Ongoing training
33.   The KPI team will need to develop training programs so new staff can be educated in CSFs, the four types of measures and how measures are reported.

Reporting
34.   A KPI provided to management that is more than a few days old is useless.

Reporting
35.   At least half of the KPIs should be reported each day, (electronically) at 9 A.M. or constantly updated 24 hours a day, seven days a week.

Reporting
36.   The board should only receive a one-page governance dashboard on the five to eight KRIs.

Reporting
37.   There is a science behind what makes data displays work. The expert in this field is Stephen Few.

Reporting
38.   Spreadsheets have no place in performance measure reporting.

Reporting
39.   Using a monthly icon-based report for staff is a good idea because they tell staff what is good, what is adequate, and what needs to be improved without giving away confidential data.

Reporting
40.   Because the board’s role is clearly one of governance and not of management, it is totally inappropriate to be providing the board with KPIs.

Reporting
41.   Typically, a board would need to see, in there one-page dashboard, between 9 and 12 graphs covering the critical success factors and outcome statements.

Reporting
42.   The KPI reporting system will fail if the review process relies on structured, monthly meetings because KPIs are indicators that need monitoring, reporting, and action 24/7.

Roadblocks
43.   Be aware of the current perception of performance measurement within the organization.

Source: Extracted from
Key Performance Indicators – developing, implementing and using winning KPIs (4th Edition)

3008, 2019

Key Performance Indicators – developing, implementing and using winning KPIs (4th Edition)

Key performance indicators (KPIs), while used commonly around the world, have never until now been clearly defined...

2002, 2018

Lean Finance Team Practices Keynote Addresses

2002, 2018

Performance Management Keynote Addresses

2002, 2018

Management and Leadership Keynote Addresses

2002, 2018

KPI Keynote Addresses

2909, 2017

How far can your leadership traits take you?

As accountants climb up the management tree we should ask ourselves how far can my leadership traits take me?  To help answer this question you need to see how much leadership is in your DNA and how much you are prepared to commit to rectify the shortfalls. Please see the brochure below for what this session will cover.

506, 2017

Recorded Webinars, pay-to-view with ACCA, CAANZ, & ICAEW

Pay to view David Parmenter's recorded webinars with the ACCA, CAANZ, & ICAEW. 1. Transform your KPIs (2x 90 mins) 2. Quick month-end reporting in three days or less (2x 90 mins) 3. Lean planning and forecasting for the 21st century (3x 90 mins) 4. Technology to help make your finance team future ready (90 mins) 5. 50+ ways to improve accounts payable (90 mins) 6. Rapid year-ends (90 mins)

1305, 2017

Lean Practices to Transform Your Finance Team – New Zealand

Why your finance team should send a representative or two • Save hundreds of hours every year from your month-end reporting, annual accounts and annual budget process • Find out how to implement modern lean methods such as quarterly rolling forecasting, planning tools and paperless board papers • Sort out performance issues such as ineffective KPIs, poor reporting, and costly re-organisations • Learn modern soft skills to enhance: your leadership; your recruiting success rate and your ability to sell and lead change • Only $695* for a day with multi book author and international presenter, David Parmenter • Receive an electronic version of the toolkit in David’s latest book (valued at $150).

1904, 2017

KPI Masterclass Tour

Transform Your Enterprise with my Winning KPIs

KPIs are more than just a management and leadership catchphrase. The right KPIs, properly deployed, can transform your organisation – creating the kind of competitive advantage that delivers greater profitability and bigger bonus pools. The last two decades spent consulting and speaking to global enterprises and audiences in 31 countries and writing four books on the impact of KPIs, has convinced me that no other single management tool delivers more profound and positive organisational change. My winning KPIs are chosen and designed to cut through and sweep away management practices and performance issues that clog daily operations.

By adopting, embracing and implementing my winning KPIs you can expect:

Enhanced operational performance, better job alignment invariably leading to happier customers
l More clearly defined critical success factors and related performance measures resulting in a competitive advantage
An up-welling of innovation throughout your enterprise
l A better led and managed organisation dedicated to best practice performance
To attract, recruit and retain the right people.

People deliver results. But they need to know what’s expected of them. They also need to know how and when they have achieved the right results.

Who am I?
I’m David Parmenter B.Com, FCA (ICAEW) and I’m known on the international speaking and consulting circuit as the “King of the KPIs”.

I’m the author of eight business titles, all published through US-based publishing house, John Wiley & Sons Inc, I’ve also written dozens of articles about leadership and KPIs for local and global accounting and management journals.

In short, I’m a world expert in the identification, development and deployment of winning KPIs. The organisations and individuals I work with use my KPIs to build lean and focused 21st century operations that deliver outstanding performance leadership.

I’ve worked for some of the world’s largest companies and consultancies including BP Oil, Ernst & Young, Arthur Andersen and PriceWaterhouseCoopers. I’m a Fellow of the Institute of Chartered Accountants in England and Wales.

What am I offering?
A full one day KPI Masterclass
In addition to explaining, through graphic and factual examples, exactly how
and why KPIs can revolutionise your organisation, I will help you to:

l Identify your organisation’s critical success factors (CSFs) and explain
and demonstrate their importance and relevance to all parts of your
enterprise
l Establish the KPIs that are critical to your overall organization
performance and which can be effectively monitored.
l Understand the seven characteristics of KPIs and explore the myths that
adversely impact their effectiveness
Understand and apply a robust, tried and tested approach to using the
winning KPIs six-stage process covered in my masterclass
Use every brain in the game. Every organisation has oracles whose
wisdom is, far too frequently, left untapped.

And I will tell you how to put the right KPIs in place
To get selected KPIs to work you must:

Abandon performance measures that have a damaging dark-side
Understand how to best report performance measures throughout your enterprise
Develop an in-house KPI leadership team to use the toolkit I deliver with this masterclass
Know how to access and use a performance measures database that I help you create
Sell and lead the change in the use of KPIs in your organisation.

This masterclass will
Provide you with:

The answers and the direction required to tackle the problems facing organisations wishing to identify and develop winning KPIs
The means to identify your organisation’s critical success factors which are essential to accomplishing better organisational alignment
An in-depth understanding of the performance practices that consistently compromise KPIs
The seven foundation blocks and the six-stage model for developing and using winning KPIs
The understanding necessary to develop, implement and use KPIs in your organisation
Report templates that encourage action to take place
The buttons you need to push in order to sell a KPI project to your senior management team

Who will benefit?

The team in charge of a KPI/ balanced scorecard implementation
CEOs and general managers who wish to revisit organisational performance measurement
Operations, Finance and HR employees that oversee performance measurement
Consultants seeking certification for this methodology

Bring a team along
This workshop is ideal for a group of senior managers or corporate support and operational staff. Breakout sessions will allow teams to plan their implementation programmes.

Programme schedule

08:30
Registration commences

08:45
Morning session begins

10:45
Break — refreshments & networking

11:00
Morning session continues

12:30
Lunch

13:15
Afternoon session begins

14:45
Break – refreshments & networking

15:00
Afternoon session continues

16:45
Day concludes

7 CPE hours