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Level 1 – Information Silos |

Level 1 – Information Silos


The first level describes the situation where performance management is not consciously practiced. Organizational resistance towards performance management exists and senior management support is not available. The use of performance management is not emphasized as a criterion for managing an organization and the value of performance management to an organization is not understood.

There is little strategic planning; objectives are typically defined only once a year and presented to the employees as a fait accompli. Performance management processes, such as reporting, are informal and often applied only to individual cases. The data is collected manually from different information systems in the organization.There is very little measurement of performance, and what there is not necessarily linked to the organization’s strategic objectives. The organization lacks common standards, shared resources or governance.

Solutions are local and often applied to a single business case. There is no common architecture or basic infrastructure. Technologies are primitive and applications often apply to only a single functional area. There is much overlapping of data, processes and technologies. Data is low quality, incoherent, conflicting and there are no common structures for its collection and/or dissemination. Data and information is dispersed throughout the organization so that people cannot easily access data and information when they need it. Consequently, management cannot get a clear and consistent picture of the whole organization.

Key Capabilities

  • Poor quality data
  • No defined measures
  • Temporary ad-hoc solutions
  • Solutions made for single business case
  • Reports built on operational information systems

Next Steps

  • Get an understanding of the value of information and performance management for the organization
  • Create a operations and development plan
  • Recognize the need for common standards, structures and procedures
  • Distribute performance management information
  • Allow reporting to cross the borders of functional processes
  • Take in use interactive reporting systems that allow to drill-down to the data in more detail
  • Use performance management processes in decision-making
  • Consider an establishment of performance management competence centre

Maturity Levels

Components in Detail

Component Description for level 1
Communication Organization strategy and mission are not communicated
Information Bad quality and scattered data; lack of standards, common structures and master data; people cannot access the data they need
Intangible assets Awareness of performance management is completely lacking; success is based in individuals; resources are used widely to consolidate data; organizational resistance; no top management support
Management and responsibility No shared resources or management; proper performance management program not started; no formal operations and development plan; lack of responsibility
Methods and tools Only a few methods defined; combination of spreadsheets and desktop databases (spreadmarts)
Performance No defined measures; Performance measurement system not in use; at strategic level performance is not measured and monitored; no formal strategic planning or management; fixed management reports in use
Scale and scope Local solutions, often done for a single business case; projects are tactical by nature
Strategy and Business Mission and goals are indefinite; typically they are only defined annually and published throughout the organization; the value of performance management to business is not understood; strategic decisions are made based on business instinct; funding comes from the IT budget and is divided between cost centers
Technology No common architecture or infrastructure; temporary ad-hoc solutions; primitive technologies; data is reported directly from operational information systems; IT seen as a cost center

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