Performance management software – selection framework
2 July 2021
Having thought about all the above, you are still left with too many choices for performance management software. So how do you know which of the different vendors to go with? How do you cut down the list from 50 to 3 that you might want to put on a shortlist? What is the process of making the right decision about selecting the appropriate solution? Here we present a framework that assists you in the decision process.
Strategic Performance Management Software Selection Framework
Selecting the right strategic performance management software solution is a major decision for most organisations. The prices for software solutions vary enormously from a few thousand Dollars to far over a million Dollars. A realistic starting price lies at about $30,000, with typical spends in the region of $200,000 for reasonable sized organisations. Making the wrong decision, buying the wrong software, can not only result in a significant waste of time, energy and money, but can also undermine the entire strategic performance management effort and the credibility of the performance management system you are trying to put in place.
Where to start?
The starting point for any performance management software selection process has to be the recognition that each organisation has a unique set of requirements for their strategic performance management approach. It is therefore not possible to provide a list of requirements that is appropriate for every organisation. Organisations differ in terms of size, IT infrastructure, communication style, required level of security, cash position, strategic design, IT literacy, in-house capabilities, etc. All these aspects affect the selection criteria of an appropriate software solution. For the purpose of developing a selection framework this means that I can present the criteria you need to consider, but then you have to decide what you need and weigh each of the criteria to reflect your unique set of requirements.
Following the same logic, each of the different software solutions that are available have different strengths and weaknesses. Particular packages will be relevant for certain organisations, while they may be completely inappropriate for others.
Clearly know what you want from your performance management software tool
It is therefore best to start with identifying what you really want and need from your performance management software and then see whether that is available from packaged application vendors. The easiest way to do this is to create a two-directional matrix in which you put weightings against each criteria, this matrix can then be used to compare available software product against the organisational requirements. In the other articles we define and explain each of the ten selection criteria you should think about before choosing a strategic performance management software application.
What Tech Trends Should Companies Focus on in 2023? Here Are Three to Consider (And One to Ignore)
It’s common to hear it said that today, in order to thrive, every business needs to become a tech business.[...]
Bringing Real-Time AI To The Core Of Your Business
Artificial intelligence (AI) is big news right now thanks to a wave of viral applications such as ChatGPT and Dall-E, which have captured the public’s imagination.[...]
The Future Of Work: Are Traditional Degrees Still Worthwhile?
Jobs and the world of work are changing. This raises one very important question: As many roles become increasingly focused on specialized skills and on-the-job experience, are traditional degrees still valuable to employers?[...]
The Real Reasons For Big Tech Layoffs At Google, Microsoft, Meta, and Amazon
Between them, some of the world’s biggest tech companies have collectively laid off more than 150,000 workers in recent months.[...]
How Will ChatGPT Affect Your Job If You Work In Advertising And Marketing?
Recently, there’s been a lot of excitement about ChatGPT – the public preview release of OpenAI’s chatbot powered by the GPT3 language model.[...]
12 Easy Steps To Build Your Personal Brand On Social Media
Building and maintaining my personal brand is an important part of my job. But it's becoming important in so many professions[...]
- Get updates straight to your inbox
- Join my 1 million newsletter subscribers
- Never miss any new content