The first step to cope with failure or underperformance is to identify the root cause of the problem. Why did you miss your target? What factors contributed to the gap between your actual and expected performance? You can use data analysis, surveys, interviews, or other methods to gather information and insights. By identifying the root cause, you can avoid repeating the same mistakes and focus on the areas that need improvement.
In my opinion, KPIs are primarily established to measure your pace, adaptability, and progress, enabling you to track your performance on assigned tasks. It is important not to feel overwhelmed by your performance but rather to view it as an opportunity to identify what benefits the company in the long term and what does not. Often, individuals caught in a cycle of underperformance overlook the potential for KPIs to help them discover new approaches to addressing technical challenges within their skillset. Ultimately, this process contributes to personal and professional growth.
The root cause is the most important aspect of failure. If you can identify it, you can deploy a strategy for improving in the future.
Coping with failure or underperformance using KPIs involves embracing it as a learning opportunity. Start by analyzing the data to identify specific gaps. Engage in constructive feedback sessions, focusing on actionable insights rather than blame. Set realistic, incremental goals to address weaknesses. Encourage a growth mindset within the team, emphasizing continuous improvement. Use KPIs to track progress and celebrate small wins to boost morale. Remember, as Thomas Edison said, "I have not failed. I've just found 10,000 ways that won't work." Turning setbacks into stepping stones fosters resilience and drives long-term success.
When failure or poor performance is involved, I concentrate on the fact that it can be a learning opportunity. I review the particular KPIs where the lagged performance was and search for the deeper reasons, whether it is process inefficiency or strategy misalignment. Then, I disassemble the data into pieces that can be enacted and change the plan as necessary. The quality of bouncing back and improving strategies for the future is guaranteed by the principles of continuous development, resilience, and a growth mindset
In my view, failure or underperformance in KPIs is an opportunity for growth. I analyze the gaps to identify root causes, adjust strategies, and implement improvements based on insights. The focus should be on learning quickly, iterating, and treating setbacks as valuable feedback for continuous progress. As Thomas Edison famously said, “I have not failed. I've just found 10,000 ways that won't work.”
The 5 Whys method. When determine the root case of failure, I deploy this method. 1. Why we miss our target? Because - We didn't meet our sales numbers 2. Why we didn't miss our sales numbers? Because - We didn't have enough demos scheduled and our conversation rate was low 3. Why didn't we schedule demos? Because - we have 2 AEs who are in the ramp period and we have 2 SDRs supporting 5 AEs 4. Why are 2 SDRs not able to support 5 AEs? Because - they have too much on their plate 5. Why they have too much on their plate? Because - 1. they are managing 25 accounts each 2. They are not well versed in the industry. ... and so on. The more you deep dive into the problem, you will get to the "root cause" and fix it vs. fixing the symptom
Sometimes, failure or underperformance can be due to unrealistic or inappropriate KPIs. Maybe your KPIs are too ambitious, too vague, or not aligned with your strategy. In that case, you need to adjust your KPIs to make them more relevant, achievable, and measurable. You can use the SMART criteria (specific, measurable, attainable, relevant, and time-bound) to evaluate and refine your KPIs. By adjusting your KPIs, you can set more realistic expectations and track your progress more accurately.
If there is no revealing root cause process or service failure from earlier step, then we evaluate our SMART s. We identify the optimal measurement as "attainable". This can be done through Trial and Error, Binary search, or advanced modeling techniques to find " attainable.
Setting realistic and achievable KPIs is critical for success. While optimism in setting ambitious KPIs is common, it’s important to balance this with practicality. When defining your KPIs, consider the programs and initiatives that will drive their achievement. If there’s a discrepancy between your targets and your available resources or initiatives, it’s wise to adjust either the KPI targets or the programs to ensure alignment. This ensures that your goals remain attainable and reflective of your capabilities.
Once you have identified the root cause and adjusted your KPIs, you need to implement corrective actions to address the issue and improve your performance. You can use the PDCA cycle (plan, do, check, act) to guide your improvement process. Plan what actions you will take to close the gap between your actual and desired performance. Do the actions and monitor the results. Check if the actions are effective and if they have any unintended consequences. Act on the feedback and make adjustments as needed. By implementing corrective actions, you can solve the problem and achieve your goals.
The 5 Whys methodology I shared earlier, will help you identify the real root cause. Once you know that, the corrective actions are easy and they should be tangible things you can do. Distribute them into short and long term actions, so you can at least start seeing the upward trend towards solving your problem.
Finally, you need to learn from failure or underperformance and use it as an opportunity to grow and develop. You can use the SWOT analysis (strengths, weaknesses, opportunities, and threats) to assess your performance and identify your areas of improvement. You can also use the 5 Whys technique to dig deeper into the root cause and find the underlying assumptions, beliefs, or behaviors that led to the failure or underperformance. By learning from failure or underperformance, you can gain valuable insights and lessons that will help you succeed in the future.
This learning will come with you for the rest of your career and you will never forget what you learn from experience and hands on. Another building block for the glowing career ahead.
1. Take long term view of your career. 2. Understand one cannot hit bullseye everytime. 3.Use root causes to understand strengths along with improvement areas. 4. Build on your strengths to improve your performance in future