Measure to manage or manage to measure?

The introduction of another significant service or product that performs better than the benchmark can be measured as being better, the same or worse. Hence we have measures of performance. The author discusses how the measures of performance can be taken and used to manage a manufacturing environment. In particular the author discusses the measures of performance adopted by the financial departments in manufacturing industries. The author discusses the relationship between profits and capital employed, and the use of ratios. If a measure of performance is able to support a management decision which has an immediate effect on the business, then that measure of performance is a management tool. However, all too often, and regularly under duress, managers produce reports and measures that are of little use apart from reflecting historical performance of a function. Performance charts that look good on the wall and from which no further action is taken or possible, is generally due to management believing that they are managing their business, when in fact they are just managing to measure