Addressing the performance vs. outcome issue

The issue of performance vs. outcome is always a hot button issue, and it is important for all managers, business owners and others to address it properly. While top performance and a winning outcome often go hand in hand, it is possible to put in a winning performance and still not achieve the outcome you seek. It is important to understand that an occasional disparity of performance vs. outcome is perfectly normal.

For instance, sometimes this difference in performance vs. outcome is caused by factors outside our control. For instance, a downturn in the airline industry may mean that no matter how admirably a flight attendant, manager or pilot performs, the underlying results will still be lacking. This is perfectly understandable and not something in the control of the average person.

However, this extreme example is far from the norm, and in most business scenarios we have far more control over the performance vs. outcome aspect of the business. This is certainly true for the small business owner, who exercises a far greater level of control than is possible in a larger corporation. So while it is normal for performance and business outcomes to diverge on occasion, if it happens consistently there is most likely an underlying problem that must be addressed.

In order to achieve success, it is vital to get to the bottom of any recurring performance vs. outcome disparities, and to do all you can to address those issues. The first step to take when performance is good but outcomes are bad is to find the underlying cause of the problem. Are your competitors undercutting you on price and stealing your business away? Are you losing quality employees to your competition? Is the attitude of your staff members (or yourself) negative? Until you get to the bottom of the problem, it will be impossible to address the underlying performance vs. outcome issue.

After you have identified the source of the performance vs. outcome, it will be easier to address it. For instance, if the problem is one of employee attitude, there are techniques that can be used to boost employee morale. Other than the obvious step of giving your staff increased wages and benefits, a step that is often out of reach for small business, there are smaller, less expensive things that can be done to show employees that they are appreciated. These inexpensive but thoughtful touches include awards ceremonies, certificates of achievement or even a day off with pay. These morale boosters have been used by many successful companies to improve their business and address problems with performance vs. outcome.

Even if you do not own your own business, these techniques for addressing performance vs. outcome can be very important. All successful managers know how important it is to get the best from their staff, and that means using many of the morale boosting techniques used by business owners. While the typical manager will not have as much latitude when it comes to raises as does the business owner, there are many excellent techniques he or she can use to address any performance vs. outcome disparities and turn them around.