Skill Definition – The ability to construct a formal set of measurements which are accepted by BOTH sides to represent the Key Performance Indicators (KPIs) on the relationship.
A demonstration of this ability would probably involve the following:
§ You should aim for a relationship ‘balanced scorecard’ measuring multiple dimensions of the relationship rather than just commercial or technical factors and SLAs. For example a suitable balanced scorecard might involve: strtegic and Operational factors and Cultural and Comercial ones.
§ You should distinguish in your scorecards between cause and effect. This is very important and is often a factor missing from traditional Transactional suplier scorecards.
§ In a best of breed scenario you should also invite your partner to conduct a 360 degree assessment of O2 and how easy or difficult they are to partner with. You will find that this will generate an enormous amount of value. Not just in the data collected but also in the act of showing your partner that you are open to constructive criticism.
§ But beware! If you do manage to get partners to be honest in their assessment of you, you must ensure that you take action as a result of the feedback.
§ Organisational culture is both real and notoriously difficult to define. However, its impact can be massive. So even though the task is difficult you should take pains to include ‘Cultural’ aspects of both individual and company behaviour in your assessments. (See Behaviours and Values).
§ Finally remember that ‘What gets measured gets done!’ So be sure to start small and controllable rather than developing something which is unwieldy and incapable of execution from the start.
§ When considering operational metrics consideration should be given to the following factors:
o Control – Is this factor under our control?
o Impact – Is this a high or a low impacter? (See Scoring the ABP Success Factors)
o Relevance – How relevant is the factor under consideration given our current situation?