This article covers:

• Influenced by poor operational definition
• Library operational definition example
• Why this difference?
• Key Performance Indicators

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Influenced by poor Operational definition.

So many times I had to restart some measurement in my projects. So many times we (me and my team) were not really unified what is real goal of our projects. Dream-less nights, quarells and arguings between team members.

Only because of poor Operational definition.

I did not new on the beginning of my project manager career. But once I understood, that this is key for progressing smoothly through all project phases, I am very carefull about it.

Let me explain, how you should approach each project step, to be unified.

Yes, Operational Definition is applicable in all project pahses.

How to create and use Fishbone diagram? – read here

Library operational definition example

Let me start with a task for you.

Look on the picture below carefully, and count blue books in the library behind reading girl. You can write your number down. You know what, share it in the comments below.

Well, I did this test with few friends. Peter and John said, there are 10 blue books. Tom counted 8, Sonya 6 of them.

Let´s show books that were counted by Peter and John. Sonya started arguing, that there is large red line on the third book from the left, so can´t be counted to blue ones. And seventh book is also not blue, because there are white dots on it.

And Tom said that there two books that are purple and not blue.

What are the best continuous improvement tools? – read here

Why this difference?

How is this difference possible? Well, they had poor operational definition for this task. And the same can occur in the project measure phase. During defining list of measures to be collected. If the definition will be poor, it can easily happen, that people will misinterpret our expectations.

To collect reliable data, we need to make sure, all involved understand requirements equally.

Operational definition helps with:

• Guiding teams what needs to be measured
• Defining attributes to be measured – what, how, and who
• Build measured consistency and reliability. That means, that any person doing measurement, will acquire the same results

How to do DMAIC in the office? (+example) read here

Key Performance Indicators:

First task is to define key measures called Key Performance Indicators – KPI´s. KPI is measurable value how efficiently process is performing. There are 3 indicator types:

• Output Indicators
• Process indicators
• Input indicators

Output indicators

Indicators order is referring to SIPOC tool. There is a good reason to start with output indicators as a first. We must know, how our process is performing to customer requirements. So, if we know what customer wants, we can measure ourselves how this need is fulfilled. To understand this, use critical customer requirement method CCR. Typical output indicators are: Quality, Price, Ontime delivery, Service type and so on.

How to create and use SIPOC? read here

To download SIPOC template click link below:

I do videos, blog posts, and all templates for free, in my free time. I will appreciate if you can donate me a cup of cofee, for more energy in my creation. (1 dollar counts, too 😉 Click on this link: I would like to support Erik in his effort

Process indicators

Process indicators tell us how efficient process is in converting inputs to customer required outputs. It must show performance in key process steps indicating achievement of required results.

To set up process indicators ask these questions:

• Is it a good predictor of required output?
• Which output we are predicting by this indicator?
• Is enabling corrective action?
• Will team know what is the root cause if problem occurs?

Cut your long term plan to smaller pieces – read here

You can improve any process, by following this DMAIC tool list. And not all tools are required to be used all the time, Just make sure, you thought about it added value to your project, and move on.

Input indicators

Input indicators should be mainly focused on quality, accuracy and timing of inputs entering addressed process. These indicators should control inputs to run process smoothly.

To set input indicators ask these questions:

• What to monitor to have information about previous processes influencing ours.
• Is created indicator aligned to customer needs?
• Is it a prediction of process indicator?
• Is enabling corrective action?
• Will team know what is the root cause if problem occurs?

I do videos, blog posts, and all templates for free, in my free time. I will appreciate if you can donate me a cup of cofee, for more energy in my creation. (1 dollar counts, too 😉 Click on this link: I would like to support Erik in his effort

Do not forget to visit and subscribe my YouTube channel. I upload short explanatory videos on Lean Six Sigma topics, and tools regurarly.

Do not hesitate to post your comments, questions, or themes you are interested in.

Yours sincerely Erik