The Discovery Phase: Setting the Foundation for Strategic KPIs
Before you can build a performance measurement system that drives results, you need to understand where you stand. The Discovery phase of implementing an Input-Process-Outcome (IPO) framework is about creating this crucial foundation.
Uncovering the Current State
This initial phase addresses a fundamental question: Do we really know what success looks like in our organization? Many companies assume alignment exists when in reality, departments are working toward different interpretations of success.
The Discovery phase involves three key activities:
1. Stakeholder Interviews & Document Review
Begin by engaging executives and business unit leaders to articulate strategic objectives. Review strategy documents, business plans, and existing reports to catalog intended outcomes and how they're currently tracked.
This step often reveals surprising gaps between what leadership considers important and what's actually being measured day-to-day.
2. KPI Inventory and Gap Analysis
Next, compile all existing KPIs across departments. Document definitions, owners, and review frequencies. This inventory helps identify:
Siloed metrics that don't connect to broader goals
Conflicting departmental measures
"Vanity metrics" that aren't tied to strategic objectives
Outcome areas with no process measures
One healthcare organization discovered they tracked 87 different metrics across departments, yet only 23 connected directly to their five strategic priorities. This realization sparked a complete rethinking of what they measured.
3. Baseline Performance Assessment
Finally, gather baseline data on current performance and catalog known issues. This includes not just metrics but cultural aspects: Do people feel accountable for results? Are there departmental blame games? This contextual information guides the next phases.
Setting Up for Success
A successful Discovery phase creates three critical outputs:
A clear list of strategic outcomes your organization truly cares about
A comprehensive inventory of existing metrics with alignment issues noted
Stakeholder buy-in on the need for change
This foundation makes the remainder of the IPO implementation process more focused and effective. Without this clarity, organizations risk building sophisticated measurement systems aimed at the wrong targets.