Reflections on Module 5 - 5b

Does a leader’s lens perspective impact the benchmarks he or she identifies as critical for his or her organization and/or the analysis of such benchmarks? Explain.

The quick answer is yes. Each leader has several benchmarks that are important to them, based on their perspective. If the leader does not use the four-lenses perspective, then too much focus can be placed on one aspect of the company. This can lead to issues being unresolved or addressed in other important/critical areas of the company. It may take years for these issues to finally effect the health of a company - but it will eventually effect the company negatively. The leader should use their preferred benchmarks, but also be open to other benchmarks that measure all of the four-lenses perspectives. Monitoring and evaluating these "other" benchmarks allows the leader to have their hands on the pulse of all the company's activities. This should lead to resources being assigned to where they can maximize profits and sustain long-term growth and stability for the company.

The other point is that as the wave of change enters into the everyday life of a company, past benchmarks may not be great guides in the prediction of the future. This is probably the greatest danger of settling and only using old/past benchmarks. Changes in the global market may have made the benchmarks obsolete. One example is the current ratio. It the current ratio really a good benchmark anymore? It may still have value, but only if you understand the company's business better. Ratios at 1.0 or below may not be bad - but may indicate a market leader, not a laggard. Point is that these old past benchmarks used presently are based on the Industrial Wave mentality - what is there relevance in the Judgment wave? Time will tell!!