Reporting Chapter 7 of our Book entitled Measuring Performance.

Before I proceed with the discussion, gusto ko sana malaman from your perspective as a
student how do you measure performance. Not necessarily sa business lang, pwede niyo rin i-
relate to your personal life. Okay lang, isa isa tayo?

Ako naman, sa personal life, it’s more of taking care of my physical and mental health. Like
playing sport para pagpawisan, going to the beach, going out with friends at least once a month,
mga ganon bagay lang to keep my mind and body moving. I try to stick sa mga habits that will
help my well-being.

And sa business side naman, we have data kasi and records na pwede pagbase-an on how our
business performed for example this month compared to the previous one. Like from cash flow
or sa inventory check, makikita na natin kung ilan yung pumapasok at lumalabas. Kung
tumataas ba o bumababa yung sales, yung orders and other factors na namemeasure natin for
the business. So, from that, doon ko na eevaluate how my business is performing.

There's one statement in the opening part of the chapter 7, sabi " without the definition of our
purpose - of what we mean by a "good result" or by "good performance" - we cannot create a
management process that will systematically generate and improve results over time"

and my interpretation for that statement is that as a social entreprenuer, we have to know and
be aware of what we are trying to accomplish. Dapat alam natin yung purpose and reason of
why we perform an activity. AND in the process of performing that activity, dapat nai-identify
natin yung mga factors that contribute to the sucess, and also yung mga hindi. If we can identify
those factors, then we can easily accomplish what we intended to do, and mas
makakapagfocus tayo to improve our performance.

So, for this chapter, we will describe methods na makakatulong para sa mga social
entrepreneurs and entrepreneurial orgs to develop managerial focus.

First, we have, accountability and performance. What this is trying to tell us is that when we
have
identified our goal, our desired outcome, our intended result, we can begin to be held
accountable for the actions we'll take, and for the level of performance we'll make. The idea
behind for accountability is that people perform better or improve their work when there is an
increase in pressure or when they are held accountable for meeting a desired result. Kapag
binigyan tayo ng responsibility to do something, especially kapag work-related, may kasamang
pressure yan, and that pressure make us perform at a higher level most of the time.

Next one we have the logic model. Its theory of how the activities a business engages in will
result in producing the value that has defined as its distinctive contribution. The figure you see
on your screen is a commonly used framework used to depict the logic model, starting with
inputs (labor or capital), that are combined to activities (processes) in order to produce outputs.
For example, this Entrep 17 summer class. The activity involved is yung mga discussions online
and zoom meetings. And the output is yung mga learnings na naabsorbed natin as students.

Now, normally these outputs are assumed to produce outcomes. And in our case, the outcomes
ay tayong students who are able to use and apply concepts na natutunan natin for our business
or in life. And it dont stop there sa outcomes. Because there will come a time that the outcomes
we produced will have its impact sa surroundings or environment natin.
On another note, the direction of this framework can also be used in the opposite side first or
backwards. This is what we refer to as planning direction where we start by figuring out first
what outcomes would likely generate the desired impact, what outputs would generate the
outcomes, what activities will lead to the outputs and so on. It is also referred to as reverse
planning where we work successively backwards to identify the activities that will produce the
intended results.

Next, we move on to the three zones of the Value Chain. We have the Administration, Results
Management, and Program Evaluation.

Under Zone 1 Administration, it focuses on the relationship among inputs, activities, and internal
outputs that are all necessary to examine efficiency and effectiveness of the internal operations
of the organization.

Under Zone 2 Results Management, it lies between organization boundary and the normal data
horizon, and it focuses on results - which are the external outputs and the external outcomes of
our actions. Ito yung zone kung saan yung mga information from the results of activities will be
available for the management team and will guide them to make managerial decisions.

Last Zone, we have the program evaluation. This is a systematic method for collecting, analyzing,
and using information to answer questions and test what would otherwise be only assumptions and
theories. Dito, we go beyond the usual limit of our ability to collect results data.

And that is an essential part of the performance management. Being able to recognize the results
that happen s outside the organization. Kasi if focus lang tayo in managing the things that occur
on the inside of the organization, for example yang mga inputs, activities and outcomes, then hindi
natin na-aassess, or naeevaluate whether meron na bang na-accomplish na result from the work we
did.

Okay so for the last part of my report, we need to keep in mind these three central questions that will
serve as guide in measuring performances. Once we have a deeper understanding of what we are
trying to accomplish and what are goals are, then these guide questions can be easily answered.

First one. What activities are not related to our goals? Ano ba yung mga activities mga processes na
hindi naman kailangan in achieving the goals of the business? A well-designed performance system
will list down all activities and process that are necessary and related to the goals, and will
automatically identify also and eliminate those that are not.

Second question. What goals are not adequately supported by our activities? Here, we look for
those goals that do not have enough activities associated with them. So, what happens is that the
business, the social enterprise looks for new ways of achieving the goal. Magfoformulate, magiisip
ng panibagong paraan that will support achieve the stated purpose.

Last question. What processes need additional improvement? As I mentioned on the earlier part of
my report, in the process of making or doing an activity, napakaimportante na naiidentify natin yung
mga factors yung mga processes that brings us closer to the goal. An effective performance system
focuses on improving the processes that works toward the organization’s goals.