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About PRG – Performance management
Performance measures can be an important tool for understanding government performance, but without a process for using this information, it is only of limited value. One such process that is receiving increased interest in government, as well as in the not-for-profit and the private sector, is called Performance Management, Managing for Results (MFR), Performance-Based Management, Activity-Based Management, etc.
What is performance management?
The performance management process is a comprehensive approach to aiding public policy and administrative organizations to focus on their missions, goals, and objectives. It establishes the accomplishment of those goals and objectives as the primary endeavor for the organization, and provides a systematic method for carrying out that endeavor. It requires the (1) establishment of performance measures, (2) use, and (3) reporting of those measures; so that management, elected officials and the public can assess the degree of success the organization has in accomplishing its mission, goals, and objectives.
What are the steps in the performance management process?
There are several different approaches to performance management. One approach involves seven (7) basic steps. On paper they are presented as discrete and separate, however they are in fact interwoven and should feed back, forth, and across.
- Planning for results (Strategic planning),
- Program (activity) planning,
- Developing meaningful performance measures,
- Budgeting for results,
- Managing work processes, collecting data and using the data to manage,
- Evaluating and responding to results,
- Reporting results.
What does it take to implement performance management?
To start, there is no one “right” way in implementing a performance management program. Every municipality, state, organization, or department has many different variables of complexity and size and as a result, the goals, objectives, and priorities will be different for each one. The seven (7) steps (mentioned above) are a guideline to consider when implementing a program.
Information in this section is adapted from the 2003 publication of GASB’s Special Report: Reporting Performance Information: Suggested Criteria for Effective Communication, Chapter 3.
For more information and resources about performance management, please refer to the Reporting Initiatives page and the Books, Articles, and News page. If you have any questions regarding the performance management process, please contact us.
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