ABSTRACT

Tom Peters, coauthor of In Search of Excellence and A Passion for Excellence, emphasized the quantitative aspects of running a business. He observed that organizations, including his own, that focus on a set of goals (sometimes lofty goals) and measurement schemes to watch progress generally do well at meeting or even exceeding those goals. Measurement influences behavior, and people whose performance is being measured generally respond by performing better. The objective of performance measurement is to influence behavior in a way that helps achieve organizational goals.