Implementation Of The Key Performance Indicators System As A Means Of Corporate Learning:

Assessment

Porsche AG is one of the world’s leading sports car manufacturers.   After the crisis of 80s and following modernization process, company achieved to reconquer its position among its competitors.   At the beginning of the 21st century, company executives were thriving to find ways to stay competitive and successful.

Realizing the usage of untapped store of knowledge, which is already possessed by the network of dealerships, could be a profit-base, company executives decided to turn the dealer network into a learning organization by implementing a business tool.   Company decided to use the term Porsche Key Performance Indicators (KPI) instead of the original name “balanced scorecard”, since the company tried the tool at a different department before and failed to introduce.   KPI is relevant though, since the tool mostly serves to measure performance and create solutions to improve it.   Objective was to revolutionize the international sales organization of the company, with a team lead by Mr. Schlegel, an expert on balanced scorecard (BS) tool.

Implementation of KPI

The purpose of this KPI strategy was to analyze the performance, sharing data, and comparison of the dealerships in all areas.   The report from KPI would contain four main categories; Financial, Internal Business Process, Customer, and Learning/Growth.   The result of using the KPI should be able to improve the Porsche services where the goal to meet customer needs and customer satisfaction and also allow the management team to know and understand the business within the company internal process.   The advantages of the BS will also enable Porsche to improve their long-term strategy where all Porsche dealerships could be able to evaluate its internal performance and indicate the problem for future improvement.
Project team decided on a step-by-step approach and started with a few pilot markets to implement the KPI.   Involved Porsche dealerships were in Italy, France and UK.   Within...