Measuring Effectiveness

We live in an age obsessed with metrics and measurements.

Newscasts are peppered with the latest statistic or ominous trend. The Internet provides data about what we buy, how to stay healthy, and why we are frequently in crisis.

If you can count it, chart it, or expound on it there is likely someone doing just that.

From baseball to bond markets, client satisfaction to consumer spending, death rates to debt ratios there is a measurement to capture the activity.

A Preoccupation with Business Measures

Most business leaders seem preoccupied with measuring results. They have MBA theories and case studies to prove the value of tracking company performance. More importantly, many executives have compensation agreements loaded with incentives for successfully reaching enterprise and personal goals. Monthly reports and meeting agendas are filled with the latest Key Performance Measures and financial ratios.

So, what is missing from this carefully compiled and audited information?

• Is there a report on employee inspiration levels?

• Are we tracking our commitment to truth telling and promise-keeping?

• What insights do we have about how well the talents of our employees are being utilized?

• Is there data about the quality of our listening skills?

• Do we know the level of trust among our Board members?

I’m afraid we are failing to calculate the most important measure of any leader, how effective he or she really is.

Effectiveness Defined

The dictionary describes effectiveness as “the degree to which something is successful in producing a desired result.”

While current business metrics may quantify the performance of employees or the company, that data only reveals part of the story. The quality and output of our work isn’t sustainable if working conditions, poor management, or unethical behaviors are needed to achieve it.

Any leader’s effectiveness depends on the ability to develop other leaders and their own team. As a leader, are those you lead more…

• Courageous in the face of adversity?

• Authentic and vulnerable with direct reports and peers?

• Willing to serve others?

• Committed to telling the truth?

• Loving in their relationships?  

I’m not suggesting that we completely abandon the old measures. Instead, I’m inviting conversation about developing new ways to assess leadership effectiveness.

A commitment to being more effective might have the power to transform what has become a cold, fear-based workplace into a warm, inviting, inspiring sanctuary. Let the dreaming begin!

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