How Do You Measure Success?

I am returning from a defense of a student’s doctoral thesis (congratulations Dr. Jill – you passed!). And while the thesis involved assessment of the church and its effectiveness, it could have quite easily been done to assess any one of a number of businesses or organizations. Jill reminded me that there is a lot more we all could do as leaders if we were serious about determining if what we are doing is helpful or not.

Every organization has a variety of indicators as to how it is doing. Some deal with effectiveness – are we getting done what we are supposed to? Some deal with efficiency – are we generating and using resources to sustain or expand the organization? And in the system that Jill developed – she dealt also with “extravagance.” Extravagance was the ability of the organization to be generous, effusive, and life-giving, especially to those whose lives needed an extra measure of goodness in them.

I learned a few things by being a reader for this thesis and by sitting in on her defense. Some were things Jill would share and teach me. Others are my reaction and may include things she might challenge. But here is my list:

1. Effectiveness matters. Any organization which operates needs to have some clarity about why it operates and whether or not it is accomplishing its purpose or not. If you do not know your purpose and what things look like as that purpose is accomplished, you are in big trouble.

2. Efficiency matters. I sensed a desire to downplay this in the thesis as I read it, but as I listened to stories it was clear that good use of resources was essential, even if one wanted to use extravagance as the “real” bottom line. Operate inefficiently and without developing resources and you will have a wonderful celebration and then all go home. Sustainable systems demand wise and consistent resources that supply the organization with options as they are needed. You cannot be extravagant long without them!

3. Extravagance makes it worthwhile. It is the ability to share life and change lives that make organizations of lasting value. Effective and efficient organizations may last and prove profitable and sustainable (they are still selling all sorts of abdominal exercisers on infomercials!). But if what you share isn’t life giving (most ab exercisers wind up in basements waiting for the next garage sale) and life changing, then it contributes little to making the world a better place.

Assessment of organizations is therefore both a practical matter and a value laden one. Evaluate the practical without the values and you last a long time but for what? Hold dearly to values without the practical then you do something potentially great but for how long? Good assessment asks practical questions (“Are we producing what we want to?” and “Are we generating resources to sustain our work?”) and value laden ones (“Are we making the world a better place?”).

As you think about your organization, are you asking both sets of questions? And how are you doing?

-- Dave Daubert