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QuestioEstablishing Specs After Performance Baseline

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  • #38809

    Hersey
    Participant

    Hello All,
    We have just established a performance baseline for certain “Y” metrics and are now in the process of trying to  establish specifications or a target goal for each of the metrics.  If several customers are stating different acceptable performance levels (for same customer segment, what are some ways to set the performance goals in stone?  More stringent (based on most stringent customer comments), in the middle somewhere?
    Thanks…

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    #116666

    Bob J
    Participant

    Don,
    The short answer would be in the middle somewhere….   A lot of how you define “somewhere” will depend on the specific metric details… 
    For example, if the metric is critical to the customer and you are considered best in class, you should go for the value represented by as large a percentage of the customer responses as you feel you can achieve…   If you are not best in class then you should shoot for at least the best in class value…
    If the metric is not critical but a clear differentiator in your market you may want to go with a median value of responses…
    You may also want to consider using the Pert Weighted Average (= (Optimistic + 4*Average + Pessimistic)/6) techique developed to estimate duration for a single activity….  The approach would work as well in this context…
    Hope this helps…
    Best Regards,
    Bob J
     
     

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    #116668

    Sinnicks
    Participant

    This is probably more of an add-on question.
    Would you base your performance goals on whichever level gives you the best total profit?  Critical term being “total”.
    Thanks

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