Q 29. How do we target for performance?
Performance
targets are the second component in bringing about a match between inputs
(budget) and outputs (performance).
Performance targets are levels of performance planned to be achieved
based on the budget proposed.
Once
performance indicators are developed, program managers should proceed to set
performance targets to accomplish in the coming fiscal year. The following guidelines could be followed in
setting the targets:
o
Past performance
trends;
o
Ambitious yet realistic
targets for the budget proposed;
o
Performance levels
of similar organizations world-wide; and
o
International
best-practices.
Performance targets provide an appropriate reference point for
comparison while having
an important motivational impact. The targets also help communicate the main
priorities of top management in more tangible terms. If realistically set and communicated, such
targets provide a goal to strive for rather than being mere embellishments in
program statements.
Budget
examination would examine performance achievement in the previous year and
verify the proposed budget in terms of the planned performance. Budget examinations could use previous
performance data and other international benchmarks to challenge managers to
establish more demanding yet realistic targets that are a better match for the
proposed budget.
Ministry of Planning
BACK
Copyright © 2003
Ministry Of Planning in the State of