The Potential ROI of Performance Competence Gap Improvement

Addressing Worthy Performance Gaps

Regardless of which level you are working at…

  • Worker
  • Work
  • Workplace
  • World

Performance and Gaps and the Improvement potential can be measured – and should be measured in the terms of current metrics – or updated metrics if currently inadequate in terms of understanding performance standards and any typical variation from that standard – in terms of both the Products (Outputs) produced … and Processes (Value Chains) that produce them.


What is required of both Products and their Processes is set by the Stakeholders.

And each Stakeholder category in the graphic below might have many individual stakeholders – and their requirements might conflict. That’s an issue all unto itself.

Understanding your Stakeholder driven Requirements is key and how well you are doing against those requirements helps establish the gaps.


There is an Investment cost to meeting Requirements via Improvements – and there is a Return value as well.

You’ve simply got to do your homework on those numbers – and do the math.

P Gaps

And then calculate the potential ROI (or EVA or RONA, etc.) exactly in the manner your Enterprise currently does this.

And if they do not typically do this – use potential ROI to make investment decisions – do a simple ROI calculation as well as a complex one.

And start simple in your way of introducing your decision makers – to this valuable tool. And go complex only if necessary.

Note: everyone’s tolerance for detailed numbers – varies.

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One comment on “The Potential ROI of Performance Competence Gap Improvement

  1. Pingback: Weekend Reflections 2019-07-06 | EPPIC - Pursuing Performance

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