Surrogation in Business Management

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Jaap de Jonge
Editor, Netherlands
🔥NEW In wars and extreme poverty, desperate people use various kinds of inferior substitutes for products like bread, coffee and tobacco. These are called "surrogates". Likewise, in performance management the human tendency or cognitive bias to confuse and substitute what's being measured with the metric itself can also be called "SURROGATION". As we all know, a business strategy is typically long term oriented, and quite complex and abstract. So various tools and metrics like CSFs and KPIs, Strategy Maps, and Balanced Scorecards are being used to cascade the strategy downwards in the organization, to make it more concrete and simpler to grasp, and to measure the progress made (in the short run). All fine. But sometimes managers and employees mentally mix up and replace the actual strategy with the hard metrics which were meant to assess whether the organization is succeeding at it. They might even start "gaming" the performance metrics. According to an interesting article by Profe (...) Read more? Sign up for free

  srinivas
Lecturer, India
 

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  Maurice Hogarth
Consultant, United Kingdom
 

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  srinivas
Lecturer, India
 

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@Maurice Hogarth: Agree that we need metrics for m (...)

  Gary Wong
Consultant, Canada
 

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  HUGH BILLOT
Business Consultant, United Kingdom
 

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  Maurice Hogarth
Consultant, United Kingdom
 

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More on Performance Management
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Forum
Overview of Performance Measurement Systems
Surrogation in Business Management
How to Measure the Performance of Admin and Support Departments?
Limitations of Traditional Performance Management
Best Practices
Performance Management in Government Departments
Performance Management in SME's / Small Organisations
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Monitoring Performance of Businesses
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Measure the Performance of Logistics and Warehousing
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