Performance Management

Driving strategy into sustainable performance

Managing a successful business or organization is about more than just forecasting earnings out to the next quarter or preparing estimates as part of annual budgeting process. It's about achieving high performance and creating sustainable value year after year by identifying the performance issues your organization faces and addressing their root causes. Performance Management (PM) can help you bridge the gap between short-term market or stakeholder expectations and the long-term durability of your business or organization.

Does your Performance Management approach need improvement?

If you answer no to any of these questions, then it may.

• Do you have a solid strategy for your organization that is clearly articulated and understood throughout the organization?
• Are your key performance indicators (KPIs) aligned to reduce volume and complexity of management reports and to ensure that your organization is measuring the right things (financial and operational) for success?
• Are your organization's key initiatives adequately linked to your strategy and to your organization's planning and budgeting processes?
• Is your organization's overall budget cycle time acceptable and have you deployed rolling forecasts to increase the value of your financial planning process?
• Does your organization have adequate data models and enabling technologies in place to support your planning, budgeting, forecasting and reporting processes?
• Is your management team able to take full advantage of "management by exception" techniques that employ real-time dashboards, scorecards and "early warning systems" to improve operational actions and reduce costs?
• Does your management team have access to intuitive tools for business analytics that will help provide insight to the organization?
• Do your organization's reward and recognition programs sufficiently align your "people plans" with your "business plans" to effectively engage your people?
• Does your organization have the capacity, access to the right tools and methodologies and an approach for managing and effectively executing performance improvement projects and initiatives?
• Are your information processes adequate for making necessary "mid-course corrections" during a project or initiative?

How can we help?

PricewaterhouseCoopers' Performance Management model is a holistic approach that helps you manage information better and enhance your performance by aligning your various financial, operational and regulatory metrics. Our Performance Management framework can help you better understand and exploit the relationships that exist (or should exist) between strategy, planning and operational processes. It is designed to assist your management team resolve operational and financial "pain points" as well as to successfully exploit growth opportunities. Our framework provides a "road map" that can be adopted at a pace that is suitable for your organization for implementing enterprise wide performance management. Our integrated approach helps you better understand and exploit the business levers that create value, whether they are defined as earnings growth and capital appreciation or "value for money".

Our services include such areas as:

• Strategy development and articulation processes — proven techniques and tools to help your management develop and communicate your organization's strategy;
• Planning and reporting optimization — leading practices to help you improve the reliability and process efficiency of historical and prospective information reporting, including value-driver based planning, driver-based budgeting, chart of accounts design and rolling forecasts;
• Program and project management, support and execution — subject matter specialists supported by proven methodologies and tools along with a rigorous approach to project planning and execution to achieve the business benefits you expect;
• Dashboards, scorecards and KPI development — improve financial and operational effectiveness and efficiencies through appropriate alignment of metrics and targets that measure the achievement of your strategic and tactical objectives including performance measures for customer, supplier, operational, organizational, financial and employee engagement perspectives; and
• Performance Management tool deployment — evaluate, design and optimize Performance Management tools and data models supporting planning, analytics and reporting.

To learn more about PwC's Performance Management framework, contact a professional in your area.