REDUCING BUSINESS RISK WITH FUTURE PERFORMANCE INDICATORS
Many managers simply get lost in the noise and confusion in the engine room. When push comes to shove there are only two types of organisations. Sublinear and superlinear.
Sublinear organisations are subject to diminishing returns where each additional unit of capital invested delivers less than the previous unit. Overt signs include a falling share price, redundancies and selling off of assets.
Superlinear organisations however are able to generate exponential growth through high levels of energy, innovation and the ability to explore new possibilities while maintaining efficiencies in the core business.
This high system energy reflects superlinear potential and capability, or a fitness to adapt and compete on a sustainable basis.
The foundation of superlinear capability is the establishment of the right Future Performance Indicators, combined with carefully designed strategic actions.
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