When we add new programs, do we delete a program? No. Use these economic times to shed those losers.
- Costs - direct and indirect (i.e., staffing costs)
- Stated goal of program, product or service
- Evaluation of program, product or service by members
- Measure the results
As a sidebar, we should be reminded of the “Hedgehog Theory” stated by Jim Collins in his book titled, Good to Great, and include the theories’ three criteria in the final analysis:
- Do we have passion for this program, product, or service?
- Are we, or can we be the best in delivering this program, product or service?
- Do we make money on this program, product or service?
After you’ve implemented this assessment tool in your yearly review process, it should provide a strong argument on whether to continue a program, product, or service in the coming years – or kick that sacred cow to the curb!
For a previous blog post on program based budgeting go HERE.