SPP Performance Measurement & Evaluation 4

Question 1

Which principle of effective KPI design ensures that a metric motivates the right behaviors rather than 'gaming' the system?

Accepted Answer

Gaming resistance — the metric should be difficult to inflate without real improvement

Answer

Gaming resistance ensures that improving the metric score genuinely reflects improved performance, not just clever manipulation of measurement methods.

Question 2

A strategic plan evaluation finds that an initiative delivered outputs as planned but produced no measurable outcomes. The MOST likely explanation is:

Accepted Answer

The outputs were not causally linked to the intended outcomes

Answer

When outputs are delivered but outcomes are absent, the underlying theory of change—the assumed causal path from activities to results—was likely flawed or missing key linkages.

Question 3

In strategic planning, 'variance analysis' refers to:

Accepted Answer

Comparing actual performance against planned targets and explaining differences

Answer

Variance analysis involves comparing actual results to planned targets, then diagnosing the causes of any gap to inform corrective strategy adjustments.

Question 4

Which of the following BEST describes the concept of 'cascading' objectives in a performance management system?

Accepted Answer

Translating high-level strategic objectives into aligned unit and individual goals

Answer

Cascading ensures that enterprise-level strategic objectives are translated into meaningful, aligned goals at business unit, department, and individual levels, creating line-of-sight to strategy.

Question 5

An organization wants to measure 'organizational learning' as a strategic outcome. Which metric would be MOST appropriate?

Accepted Answer

Rate at which after-action review insights are incorporated into updated processes

Answer

Measuring how frequently after-action insights are converted into process changes captures actual organizational learning behavior, not just investment in or exposure to training.

(SPP) Strategic Planning Professional Practice Test

(SPP) Strategic Planning Professional Practice Test

SPP Performance Measurement & Evaluation 4